ExxonMobil acquisition of InterOil before the courts

The $2.5 billion acquisition of InterOil Corporation by Exxon Mobil Corporation had been stayed until the completion of a Court hearing in Canada.

InterOil Corporation in a statement said that, “the Court of Appeal of the Yukon has accommodated an expedited hearing with respect to the appeal lodged by Phil Mulacek, which is scheduled to be heard on October 31, 2016.

“In addition, the Court of Appeal of Yukon granted a stay of the Supreme Court of Yukon’s order approving the transaction, pending the hearing.

“InterOil continues to believe that the transaction represents compelling value for all InterOil share-holders and will vigorously oppose Mr Mulacek's appeal. InterOil and ExxonMobil intend to close the transaction promptly following receipt of a favorable resolution.

“As previously announced, the Supreme Court of Yukon approved the transaction on October 7, 2016, finding that it is fair and reasonable.”

Meanwhile, PNG consumer watchdog, the Independent Consumer and Competition Commission (ICCC), have threatened to seek legal advice if the proposed acquisition of InterOil by ExxonMobil proceeds.

InterOil holds a lucrative petroleum development licence in Papua New Guinea and ExxonMobil is the developer of the multi-billion kina LNG Project. 

Author: 
Charles Yapumi