HOUSTON, Sept. 21, 2018 (GLOBE NEWSWIRE) — Energy XXI Gulf Coast, Inc. (“EGC” or the “Company”) (NASDAQ: EGC) today provided a statement regarding the closing of the merger with affiliates of Cox Oil LLC (“Cox”).
As EGC previously announced on September 10, 2018, on September 9, 2018, EGC and Cox entered into an Amendment No. 1 to the Agreement and Plan of Merger to provide for the closing date of the merger to occur on October 10, 2018. The amendment also provided that Cox cannot refuse to consummate the merger because of any material adverse events occurring on or after the date of the amendment until the closing date.
In addition, as previously announced, at EGC’s September 6, 2018 special meeting of stockholders, EGC received the two-thirds stockholder approval required for EGC’s stockholders to approve the merger. None of the voting results from the EGC special meeting will adversely affect the closing of the merger.
In anticipation of the September 10, 2018 scheduled closing date, the FTSE Russell 2000 Index began the process to remove EGC’s common stock from the index. On September 19, 2018, FTSE Russell informed EGC that, under FTSE Russell’s procedures, FTSE Russell was unable to reverse this action, even though the merger closing date had been extended.
EGC and Cox continue to work toward closing the merger on October 10, 2018.
Merger of EGC and Cox
As previously announced on June 18, 2018, the EGC Board of Directors unanimously approved a merger transaction with affiliates of Cox, an independent, privately-held entity that owns and operates assets in the Gulf of Mexico. Pursuant to the terms of the merger agreement, Cox will acquire all the outstanding shares of EGC common stock for $9.10 per fully diluted share in cash, for a total consideration of approximately $322 million. This represents a 21% premium to EGC’s closing share price on June 15, 2018.