Stone Energy says EPL offer superior
Stone Energy Corp. (NYSE:SGY) on Monday said a $1.4 billion buyout offer from Energy Partners Ltd. (NYSE:EPL ) is superior to one already accepted from Plains Exploration & Production (NYSE:PXP).
Stone said it would terminate its deal with Plains and agree to be acquired by EPL unless Plains raises its offer this week. Plains offered 1.25 of its shares for each Stone share, an offer worth $43.88 per share as of Friday’s close.
EPL has offered $51 per share in cash or in stock for each Stone share, subject to certain caps on the amount of money to be paid and total number of shares to be issued. Stone shares closed at $46.75 on Friday.
Stone said if its breaks the Plains deal it would owe Plains a termination fee of $43.5 million, which EPL has agreed to pay.
(Reuters)
