• Eni and Burren have agreed the terms of a recommended cash offer to be made by Eni Holding, a wholly owned subsidiary of Eni, to acquire the entire issued and to be issued share capital of Burren.
• The Offer is 1230 pence in cash for each Burren Share, valuing the entire existing issued share capital of Burren at approximately £1,736 million.
• The Offer represents a premium of:
- 33.4 per cent. to the closing price of 922 pence per Burren Share on 8 October 2007 being the last Business Day prior to commencement of the Offer Period ; and
- 50.6 per cent. to the average closing price of 817 pence per Burren Share for the three month period ended 8 October 2007.
• Eni Holding has received irrevocable undertakings to accept the Offer from all of the Burren Directors, certain Burren senior managers and certain companies associated with the Burren Directors, in respect of an aggregate 29,600,534 shares, representing approximately 20.98 per cent. of the existing issued share capital of Burren.
• A Loan Note Alternative will also be made available to Burren Shareholders.
• The Burren Directors, who have been so advised by UBS, consider the terms of the Offer to be fair and reasonable and intend unanimously to recommend that Burren Shareholders accept the Offer. In providing such advice, UBS has taken into account the commercial assessments of the Burren Directors.
Commenting on the Offer, Paolo Scaroni, Chief Executive Officer of Eni, said:
“We are very pleased to have agreed the terms of a recommended offer for Burren. The transaction is in line with our strategy and will increase our production in Congo. We will also gain a first foothold in Turkmenistan, a hydrocarbons rich country which has increasingly attractive growth potential.”
Commenting on the Offer, Keith Henry, Chairman of the Board of Burren, said:
"We are delighted to announce today's recommended offer from Eni, which marks the culmination of a period of outstanding value creation for Burren shareholders since the Company's flotation. The price achieved reflects the high quality and strategic nature of our business and assets today. I would like to extend our thanks to all of Burren's employees for their contribution to the success of the Company, which I am sure will continue under Eni's ownership."
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