Surge Energy to acquire remaining stake in Longview Oil

Surge Energy to acquire remaining stake in Longview OilSurge Energy has indicated that it is planning to acquire the remaining stake in Longview Oil Corp in order to have complete control on the company.

Surge Energy is already the largest shareholder in Longview Oil Corp has finally agreed to buy the rest of the company. Surge announced a unsolicited non-binding proposal to acquire all the remaining outstanding shares in the company.

Surge is looking to acquire the remaining stake to expand its position in the market. Longview's shareholders are expected to receive 0.975 of a Surge share for each share owned by them in Longview. Surge has said that the offer is valued at $5.99. Longview closed at $5.49 on Monday, recording an increase of 9 per cent. The price is 35 per cent higher than the company's share price in February before Surge said that it is planning to acquire the remaining stake in the company.

"The proposed transaction results in the formation of an elite, intermediate, light and medium oil focused, dividend paying, growth company," they said in a statement.

"The combined asset base will be strategically focused in the Williston Basin and central Alberta with significant complimentary reserves, production, land and operations."