Jul 14, 2011
Williams (NYSE:WMB) announced that it submitted an enhanced proposal to acquire Southern Union Company (NYSE:SUG) for $44 per share in cash, for a total enterprise proposal via a letter to the Special Committee of Southern Union's Board of Directors.
The enhanced proposal represents a premium of 10% over the nominal purchase price in Southern Union's recently revised agreement with Energy Transfer Equity (NYSE:ETE), announced on July 5.
Alan Armstrong, Williams' President and Chief Executive Officer said, "Based on the due diligence we have completed to date, we have revised our forecasts and synergy estimates and are pleased to deliver Southern Union an enhanced proposal to acquire the company for $44.00 per share in cash. We are more convinced than ever of the strategic and financial benefits of Williams' acquisition of Southern Union. Our proposal offers more than just premium value and full liquidity to the Southern Union shareholders; it is designed to result very quickly in a merger agreement and provide certainty around financing and regulatory approvals. Williams is offering Southern Union a clear, direct path to the highest value for its shareholders."
The Williams Cos has a potential upside of 27.8% based on a current price of $28.79 and an average consensus analyst price target of $36.8.
Oil & Gas Post
Promote Your Page Too
No comments:
Post a Comment