Following a hostile bid from Suncor Energy, Canadian Oil Sands is in early-stage talks with other potential suitors, according to Reuters. More than two dozen parties have expressed an interest, according to a regulatory filing, and RBC Capital Markets, which is advising Canadian Oil Sands, has said that four parties have already signed confidentiality agreements.
Reuters noted that, following Suncor's C$4.3 billion ($3.23 billion) offer in October, Canadian Oil Sands adopted an extended poison pill to thwart the bid. According to an affidavit filed with the Alberta Securities Commission (ASC), Canadian Oil Sands has met with one unnamed party and is scheduling meetings with prospective acquirers over the next two weeks.
Suncor has urged the ASC to reject the Canadian Oil Sands poison-pill defense, arguing that the 60 days it gave the target is ample time for investors to review its $4.5 billion offer. Canadian Oil Sands is angling for more time to consider other offers, saying that Suncor’s bid was opportunistic and undervalued its prospects.