US EditionStrathcona Defends Unsolicited Takeover Offer for Oilsands Peer MEG Energy
ALBERTA, CANADA, JUN 20 – MEG's board calls Strathcona's $4.4 billion offer undervalued and risky, highlighting a $6 billion ownership overhang from Waterous Energy Fund, while pursuing superior alternatives.
- Last month, Strathcona Resources Ltd. extended a cash-and-stock bid to acquire the remaining outstanding shares of MEG Energy Corp. that it has yet to purchase, with the offer set to expire on September 15, 2025.
- MEG's board, chaired by James McFarland, urged shareholders earlier this week to reject the bid, calling it inadequate and citing risks related to inferior assets and capital markets exposure.
- Strathcona responded on June 20, 2025, disputing MEG's claims and publishing a presentation titled 'Fact vs. Fiction' that defends the offer and promotes benefits from combining the two oilsands producers.
- The offer consists of 0.62 Strathcona shares and C$4.10 in cash per MEG share, with Strathcona highlighting potential cost synergies and a 50-year reserves life index for the combined entity.
- The dispute suggests ongoing strategic tensions and a formal review process, with MEG planning a strategic review that might identify a superior offer while Strathcona commits to engaging constructively with MEG's board.
24 Articles
24 Articles
Strathcona defends unsolicited takeover offer for oilsands peer MEG Energy
CALGARY — Strathcona Resources Ltd. says MEG Energy Corp. has made errors and misleading statements in its justifications for rejecting its unsolicited takeover bid. Last month, Strathcona made a cash-and-stock offer to buy all of the MEG shares it does not already own, and MEG shares have consistently been trading higher than the implied offer […]
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MEG Energy urges shareholders to reject takeover offer by Strathcona Resources
CALGARY - MEG Energy Corp. says its board of directors is urging shareholders to reject an unsolicited takeover offer by Strathcona Resources Ltd., calling it opportunistic and not in the best interests of the company or its investors.
MEG Energy seeks alternatives after rejecting $4.4-billion bid from Strathcona – Oil & Gas 360
(Oil Price) – Canada’s Strathcona Resources supports MEG Energy in its process to explore potential mergers after MEG recommended that shareholders reject a $4.4 billion (C$6 billion) takeover offer from Strathcona. Last month, Strathcona, MEG’s second-largest shareholder with about 9%, made an offer to acquire MEG Energy for the equivalent of some $4.4 billion in cash and stock. A deal would have turned the combined company into the fourth-large
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