News Oil & Gas

Portillion withdraws plans to buy Reabold

Reabold Resources plc’s prospective buyer announced it would not make an offer after the oil and gas investor “failed to engage meaningfully” over the proposed transaction.

PORTILLION

Portillion SPV O&G executive chairman Kamran Sattar made the offer in mid-March.

The company was established to “acquire and manage companies in the energy sector engaging in the energy transition trend”.

Reabold believes Portillion to be an affiliate of Portillion Capital Ltd.

BENEFITS

In a statement issued via Reabold today, Portillion said that there had been no significant communication despite Reabold “benefiting from Portillion Capital, a separate company that enabled it to execute its strategy”.

Portillion cited as examples the purchase of £500,000 of convertible loan notes in Corallian Energy Ltd and $2,500,000 provided to DayBreak Oil & Gas for the equity exchange agreement.

“Portillion believes buying the company at the current value would not be fair to shareholders that have invested at previous offerings by the company and as a result Portillion respects and values all shareholders but remains an advocate of change to the current board structure to ensure the company can operate prudently,” the statement added.

“As a result Portillion SPV O&G today, formally announces that it will not make a firm offer for Reabold Resources plc.”

In its own brief statement, Reabold said it was no longer deemed to be in an ‘Offer Period’ as defined in the City Code on Takeovers and Mergers.