Spanish oil company Repsol said on Tuesday it had reached a deal to purchase Talisman Energy, Canada's fifth-largest independent oil producer, for $13 billion.The proposed acquisition will boost Repsol's exploration and production arm and fill a funding gap after the seizure of its Argentine business in 2012. It will also help to reduce the firm's reliance on high-risk oil producing areas such as Libya.The oil price drop has lowered price tags on producers like Talisman, spurring interest from Repsol which has been on the search for oil and gas targets in North America or other countries with stable regulation.Repsol will pay $8.3 billion for 100 percent of Talisman shares which represents a 56 percent premium to the Calgary-based company's market value of $5.33 billion on Monday. Repsol will also take on $4.7 billion of debt.
Talisman Energy Inc. (Talisman), is an oil and gas producers, through a combination of exploration, development and acquisitions. Shares of TLM traded higher by 19.35% or $0.83/share to $5.12. In the past year, the shares have traded as low as $3.46 and as high as $11.86. On average, 10238600 shares of TLM exchange hands on a given day and today's volume is recorded at 38834128.
Talisman Energy Inc. (Talisman), is an oil and gas producers, through a combination of exploration, development and acquisitions. Shares of TLM traded higher by 18.45% or $0.93/share to $5.97. In the past year, the shares have traded as low as $3.96 and as high as $13.13. On average, 4102690 shares of TLM.TO exchange hands on a given day and today's volume is recorded at 15099059.
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