Strathcona Resources said on Friday it has terminated its takeover bid for MEG Energy, days after Cenovus Energy raised its bid for the Canadian oil producer.
The takeover saga began in May when Strathcona launched a C$5.93 billion ($4.23 billion) hostile bid for MEG Energy. However, Cenovus countered with a C$7.9 billion cash-and-stock deal.
Since then, Strathcona raised its stake in MEG to 14.2%, aiming to vote against the Cenovus deal, and in September sweetened its original offer to C$30.86 per share, compared with Cenovus’ nearly C$28 bid.
On Wednesday, Cenovus raised its bid for MEG to C$8.6 billion, including debt.
(Reporting by Sumit Saha in Bengaluru; Editing by Shailesh Kuber)