Under the terms of the scheme, Capricorn shareholders will receive $4.74 per share, comprising $3.75 in cash and a special dividend of $0.99 expected to be declared before completion.
The total value is equivalent to 357p per share, representing a 34% premium to Capricorn’s undisturbed closing price of 266p on 10 March and a 48% premium to the three-month volume-weighted average price.
Capricorn chief executive Randy Neely said the deal “crystallises the value created by Capricorn while providing shareholders with a clear and efficient exit”, while Genel chief executive Paul Weir described it as “a landmark transaction” that would diversify Genel’s portfolio and begin its role “as a partner in Egypt’s energy future”.
At 0927 BST, shares in Genel Energy were up 3.09% at 53.4p, while those in Capricorn Energy were ahead 18.75% at 342p.
Reporting by Josh White for Sharecast.com.
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