Israeli group won’t raise offer for Capricorn Energy | Scotland


NewMed, the Israeli group pursuing a combination with Capricorn Energy, has indicated that it will not be improving its offer despite unrest among investors.

The company said that it continued to back a merger, which would create a London-listed oil and gas firm producing the equivalent of 100,000 barrels of oil per day.

A number of large shareholders in Capricorn, led by the activist Palliser Capital, are not supportive, even though they would share $620 million in cash and own about 10 per cent of the enlarged group.

A vote is taking place on February 1 with investors also voting later that day on whether to back Palliser Capital’s proposals to oust seven of the Capricorn board and install six new directors.

The statement