Canadian oil and gas explorer Petro Andina Resources Inc reiterated its rejection of Pluspetrol Resources' C$400 million ($360 million) bid on Monday, saying it seeks a better alternative and has received proposals from qualified parties.
Netherlands-based Pluspetrol Resources Corp in June launched an unsolicited C$8.10 a share cash-bid for Petro Andina, in an attempt to expand its oil and gas operations in Argentina, Colombia and Trinidad.
Petro Andina Resources, after evaluating the offer, in July said Pluspetrol was undervaluing the company.
Petro Andina's shares have consistently traded above the offer price, since the bid was launched, indicating that investors expect a higher bid. Petro Andina's shares closed at C$9.60 Friday on the Toronto Stock Exchange.
Petro Andina said negotiations are currently underway with interested parties and it is very pleased with the level of interest received.
The Calgary, Alberta-based company said shareholders do not have to take any action on the Pluspetrol offer. (Reuters)