State Bank of India : Mosman continues to seek to takeover MEO Australia

Mosman Oil and Gas (AIM: MSMN), the New Zealand and Australia focussed oil exploration and development company, has updated shareholders on its proposals for the takeover of MEO Australia. It had previously advised its intention to make a takeover offer for the entire issued share capital of MEO. Recently the Mosman directors stated that they continued to believe that there was a strong possibility that the proposed merger between MEO and Neon Energy Limited would not occur, and that the Mosman takeover bid affords the MEO shareholders a viable alternative. MEO has announced that late on Friday, Neon issued MEO with a notice that effectively terminated the proposed merger. Further, they stated that MEO considers the notice of termination is valid, subject to confirmation of receipt of a reimbursement fee of $400,000. As a result, MEO acknowledged that it expects Mosman to proceed with its intention to make a takeover bid for all of the shares in MEO as announced to the market earlier in the month. MEO said it will consider its opinion on the Mosman proposal in light of the termination of the merger and advised Shareholders to take no action until they receive the formal recommendation. John W Barr, executive chairman of Mosman, commented: "The Mosman directors remain of the belief that the Mosman takeover bid affords the MEO shareholders a viable alternative." At 10:32am: (LON:MSMN) Mosman Oil And Gas Limited Ord Npv share price was +1.13p at 9.13p Story provided by StockMarketWire.