National

Oct 9, 2011 1:45 AM by Dr. Anya Winslow

$2.2 billion energy company acquisition

(AP) - China's Sinopec International Petroleum Exploration and Production Corp. has agreed to buy Canadian oil and gas company Daylight Energy Ltd. for about $2.2 billion Canadian ($2.1 billion U.S.).


Daylight Energy said Sunday that purchase price amounts to a 43.6 percent premium over the average price of the company's shares over the 60 days that ended Friday.


That works out to about $10.08 Canadian a share. Daylight's shares ended trading Friday on the Toronto Stock Exchange at $4.59. The transaction must be approved by Daylight's shareholders.

The deal includes a breakup fee of $100 million.


Sinopec International is a unit of China Petrochemical Corp.

Daylight Energy is based in Calgary, Alberta.


(Copyright 2011 by The Associated Press. All Rights Reserved.)

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