MEG board urges shareholders to reject latest Strathcona takeover bid
CALGARY - MEG Energy Corp. is recommending its shareholders reject the latest takeover offer by Strathcona Resources Ltd. which raised its bid for the company last week.Â
CALGARY - MEG Energy Corp. is recommending its shareholders reject the latest takeover offer by Strathcona Resources Ltd. which raised its bid for the company last week.Â
The company says its board unanimously recommends shareholders should instead back its friendly deal to be acquired by Cenovus Energy Inc.
MEG board chair James McFarland says the revised Strathcona offer “remains fundamentally unattractive” because it does not adequately compensate shareholders for the risks embedded in Strathcona shares they would receive in the deal.
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The Cenovus deal must be approved by a two-thirds majority vote by MEG shareholders expected to be held on Oct. 9.Â
Strathcona says it intends to vote its 14.2 per cent interest in MEG against the deal.
Cenovus and MEG have side-by-side oilsands properties at Christina Lake, south of Fort McMurray, Alta. Strathcona also has operations in the region.
This report by The Canadian Press was first published Sept. 15, 2025.
Companies in this story: (TSX:MEG, TSX:CVE, TSX:SCR)
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