Ensign Energy Services Inc. says it will take control of Trinidad Drilling Ltd. after acquiring a majority of the company’s shares by its Tuesday deadline.
The Calgary-based drilling company says 56.38 per cent of Trinidad shares have been tendered. The 154.1-million shares are in addition to the 26.9-million it also owns, raising its stake in Trinidad to 66.18 per cent.
Each Trinidad shareholder will receive by Thursday $1.68 per share for a total of about $470-million, with the offer price representing a 17.2-per-cent premium over the all-share proposal by Precision Drilling Corp., the largest driller in Canada.
With all conditions of its offer satisfied or waived, Ensign has extended the deadline until Dec. 10 for Trinidad shareholders who have not done so to tender their shares.
Ensign had given Trinidad shareholders less time to consider its hostile takeover bid by pushing its offer deadline ahead of a planned Dec. 11 meeting where Trinidad shareholders will vote on the merger with Precision.
If that meeting isn’t cancelled, Ensign says it will use its majority to vote down that offer from Precision.