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Oil Search makes $2.2 bln bid for PNG rival InterOil

Published 20/05/2016, 08:45 am
© Reuters.  Oil Search makes $2.2 bln bid for PNG rival InterOil
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MELBOURNE, May 20 (Reuters) - Oil Search Ltd OSH.AX has agreed on a takeover offer worth $2.2 billion for its Papua New Guinea rival InterOil Corp IOC.N and said on Friday it would sell part of InterOil's key asset to French giant Total SA TOTF.PA .

"The InterOil board has thoroughly considered this transaction and we believe it delivers significant value to all InterOil shareholders," InterOil Chairman Chris Finlayson said in a statement.

Oil Search is offering 8.05 of its shares plus a contingent value right for each InterOil share, which Oil Search said valued InterOil at $40.25 a share, a 27 percent premium to InterOil's close on Thursday.

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