- Reuters/Jim Urquhart
- Anadarko Petroleum shares surged 12% on Wednesday after Occidental Petroleum made a bid for the petroleum company.
- The $38 billion offer tops Chevron’s $33 billion bid for Anadarko made earlier this month.
- Watch Anadarko Petroleum trade live.
Shares of Anadarko, the oil and natural gas exploration and production company, soared 12%.
“Occidental believes its proposal is superior both financially and strategically for Anadarko’s shareholders, creating a global energy leader with the scale and geographic diversification to drive growth and deliver compelling value and returns to the shareholders of both companies,” the said in a statement on Wednesday.
Occidental, based in Houston, Texas, is offering a $76 a share for Anadarko, in an offer consisting of cash and stock. That’s $11 a share higher than the $65 a share offer Chevron proposed earlier this month.
Anadarko and Chevron announced a deal on April 12, sending Anadarko shares up by 30% to a six-month high that day.
Wednesday’s offer was the third that Occidental has made for Anadarko since March, the company said in a letter delivered to Anadarko’s board of directors.
“We were surprised and disappointed that your Board did not engage with us on that proposal, or our proposal of April 8, even though both were significantly higher than the price you accepted from Chevron,” Occidental CEO Vicki Hollub wrote.
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