October 29 - Telegraph (U.K.) - The oil and gas sector is set for a major M&A boom with every stock in the sector a possible bid target, according to new research from the corporate finance team at Ernst & Young.
The Alternative Investment Market (Aim) has been relatively quiet in terms of deal flow since the credit crisis hit markets over the summer. But that trend could well be reversed as the 90-plus companies in the oil exploration and production sector seem likely to go through a phase of significant consolidation.
Many of the oil prospectors on Aim are running out of cash, says Ernst & Young, and they will either have to take over rivals or be bought out themselves if they are to have a future.
Alec Carstairs, oil and gas partner at Ernst & Young, says: "A combination of weak share performance and low cash balances means that difficult times are ahead for the oil and gas juniors. Read More.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment