Shell wins Australian clearance for BG takeover

AFP, LONDON: Energy major Royal Dutch Shell’s enormous takeover of British rival BG Group has won final approval from the Australian government, it said yesterday.
Shell announced in a statement that its recommended £55-billion (US$84-billion, 79 billion-euros) acquisition of BG Group has been approved by Australia’s Foreign Investment Review Board (FIRB).
The European Commission and Brazil’s competition authority have already cleared the way for the tie-up, leaving only China’s Ministry of Commerce to follow suit.
“I am very pleased to receive this news. The FIRB approval is an important step towards deal completion,” said Shell chief executive Ben van Beurden.
“The addition of BG’s integrated gas assets in Australia to Shell’s global portfolio is one of the main strategic drivers behind the recommended combination.”
The Australian Competition and Consumer Commission had already given Shell’s mega-takeover the green light last month.
The deal is aimed at helping Shell boost its flagging output thanks to BG’s strong position in liquefied natural gas (LNG), a cleaner alternative to coal and nuclear energy.
“The Shell-BG combination is a sign of Shell’s confidence in the Australian economy,” added van Beurden.
“It is also a springboard to change Shell into a simpler, more profitable and resilient company.”
Shell remains on track to complete the deal in early 2016.

Shell wins Australian clearance for BG takeover

AFP, LONDON: Energy major Royal Dutch Shells enormous takeover of British rival BG Group has won final approval from the Australian government, it said yesterday. Shell announced in a statement that its recommended 55-billion (US$84-billion, 79 billion-euros) acquisition of BG Group has been approved by Australias Foreign Investment Review Board (FIRB). The European Commission and Brazils competition authority have already cleared the way for the tie-up, leaving only Chinas Ministry of Commerce to follow suit. I am very pleased to receive this news. The FIRB approval is an important step towards deal completion, said Shell chief executive Ben van Beurden. The addition of BGs integrated gas assets in Australia to Shells global portfolio is one of the main strategic drivers behind the recommended combination. The Australian Competition and Consumer Commission had already given Shells mega-takeover the green light last month. The deal is aimed at helping Shell boost its flagging output thanks to BGs strong position in liquefied natural gas (LNG), a cleaner alternative to coal and nuclear energy. The Shell-BG combination is a sign of Shells confidence in the Australian economy, added van Beurden. It is also a springboard to change Shell into a simpler, more profitable and resilient company. Shell remains on track to complete the deal in early 2016.