Serica faces ‘aggressive’ questioning on Tailwind deal
The UK-focused producer is finding shareholders disgruntled by its latest proposed M&A
AIM-listed UK E&P Serica Energy is not having an easy ride from existing backers about its plan to acquire peer Tailwind Energy. The component of the deal giving Swiss commodity trading house Mercuria, a large stakeholder in Tailwind, a 25pc share in the enlarged firm is a particular lightning rod for dissent. A mid-January investor presentation saw Serica CEO Mitch Flegg responding to what he called “quite aggressive” questions from those with doubts about the transaction. These included complaints that a “40pc share dilution to existing shareholders is unfathomable”. “How is this acceptable?” they asked. 25pc – Mercuria’s future stake in Serica “How is the company not seeing
Also in this section
26 April 2024
While the US has been breaking records for its premium grade crude, there are doubts over whether you can have too much of a good thing
26 April 2024
Slowing demand growth and capacity expansions will squeeze refiners in coming years
25 April 2024
Some companies with assets in Israel have turned towards Egypt as tensions escalate, but others are holding firm despite rising tensions
24 April 2024
But even planned exploration activity is unlikely to reverse declining output from mature fields