acquisition race warms up as Chevron receives S.E.C. approval
New York: Chevron has said that the Securities
and Exchange Commission had cleared its $16.4 billion
offer for Unocal, lifting the last regulatory hurdle for
the proposed acquisition. But a deal for Chevron is still
some distance away with a rival offer from Chinese oil
major, the China National Offshore Oil Corporation (Cnooc),
acting as a spanner in the works.
The regulatory go-ahead opened the way for a vote by Unocal's
shareholders on the Chevron offer. Unocal, an independent
oil company based in El Segundo, Calif., announced yesterday
that the vote would be taken on Aug. 10. Chevron hopes
that by putting the issue to a vote fairly quickly, it
can thwart Cnooc's $18.5 billion bid.
But even as Chevron was pressing ahead, Cnooc and Unocal
managers met in New York to discuss the unsolicited bid
that the Chinese company made. On Monday, Cnooc tried
to defuse some of the political opposition by requesting
that its offer be quickly reviewed by the Bush administration.
The Treasury Department's Committee on Foreign Investments
in the United States typically considers acquisitions
by foreign companies, examining whether they pose a risk
to national security.
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