Chevron makes a buyout offer with Atlas Energy

Atlas Energy is a natural gas producer and developer in middle America and also the Appalatian region. Chevron offered Atlas Energy $ 4.3 billion for their business. The Board of Directors at Atlas Energy accepted the offer. Two shareholder-representative corporations have launched inspections to the offer, however.

What Atlas Energy will probably be worth to Chevron

Atlas energy has been traded within the last few months. It had been $30 to $35 for a share. Over 9,000 natural gas wells are controlled by Atlas Energy which is an energy development business. Chevron is a multinational corporation that provides fuel, additives, oils and other products via Chevron, Texaco and CalTex brands. An agreement on what chevron could be paying for Atlas Energy was made today. $43 a share was the price decided on.

Atlas Energy acquisition under analysis

Certain standards in acquisition agreements are expected to be kept up with both Atlas Energy and Chevron as they’re public corporations. Shareholder acquisition agreements are investigated by 2 major law firms. Both have decided the Chevron/Atlas Energy offer needs to be investigated. The companies say the "true value" of Atlas Energy is not being given to shareholder. They say Atlas Energy did not "properly shop around" for it. Some analysts claim that a fair price for Atlas Energy would are between $47 and $65 per share. That's a huge difference. A no fax payday advance loan cannot even compare. Chevron shares went down 88 cents since the buyout offer when Atlas Energy shares went up over $43 a share.

The combining worth

The value of buyouts and mergers can often be difficult to accurately determine. The owners of a business are stockholders in publicly held businesses. Many say that Atlas Energy will probably be worth more than the $30 per share it has been trading for. It is hard to determine what the "true" value of a business is. So many factors play into this number. Shareholders might require more than the $4.3 million that Chevron offered to be paid if it appears Atlas Energy accepted an offer too low.

Articles cited

Marketwatch

marketwatch.com/story/rigrodsky-long-pa-investigates-atlas-energy-inc-buyout-2010-11-09?reflink=MW_news_stmp

Barrons

blogs.barrons.com/stockstowatchtoday/2010/11/09/chevron-buys-penn-nat-gas-developer-atlas-energy-in-43b-deal/