Plains ends SemGroup bid
BY ROD WALTON World Staff Writer
Wednesday, April 18, 2012
Plains All-American Pipeline LP is dropping its $1 billion hostile bid for Tulsa-based SemGroup Corp.
Formerly bankrupt SemGroup’s stock has risen more than $6 above Plains’ original $24-per-share offer made last year. SemGroup executives shook off the bid as undervaluing the Tulsa firm.
Plains finally gave up and informed the financial world in a brief press release this week. The company did not elaborate on why it was leaving the unsuccessful deal behind.
SemGroup owns and operates energy and asphalt storage and transport assets in the U.S., United Kingdom and Mexico.
The company went public in December 2009 after its predecessor, privately held SemGroup LP, filed for bankruptcy protection due to cash losses in oil futures trading.