The Straits Times
Published on Feb 26, 2013

Chinese oil giant CNOOC buys Canada's Nexen


MONTREAL (AFP) - The Chinese oil giant CNOOC completed its US$15.1 billion (S$18.57 billion) purchase of Canada's Nexen energy group on Monday, in what analysts have said is China's largest foreign investment.

Canada gave the green light in December, as did the United States, which had to approve the deal because of Nexen's activities in the Gulf of Mexico.

Nexen confirmed the completion of the acquisition in a statement, noting that its shareholders had received US$27.50 per share, a gain of US$10 compared to the day before the announcement of the transaction in July.

In a separate statement, the head of state-run CNOOC, Mr Wang Yilin, said "we strongly believe that this acquisition is a good strategic fit for us and will create long-term value for our shareholders."