Reading-based oil and gas firm Egdon Resources reported it is recommending a cash takeover cash offer from Petrichor Partners at 4.5 pence a share.
The offer values the company at around £26.6 million and the price represents a 96% premium to the closing price on Tuesday, May 16 of 2.3p per share.
Shares in Egdon Resources on May 17 jumped around 90 per cent to stand at 4.35p.
Petrichor is a subsidiary of HEYCO, which provides services and capital to oil and gas projects in the US and Europe. Petrichor and Heyco Energy’s parent company is Explorers Petroleum Corp, which is controlled by George Yates.
Egdon Resources plc (LON:EDR) is an independent onshore focused oil and gas exploration and production business. An established oil and gas exploration and production business with 41 licences in proven oil and gas producing basins in the UK.