Strathcona raises MEG bid to block Cenovus deal

The new price is about 10% higher than Strathcona’s original takeover bid and tops the price Cenovus agreed last month to pay for MEG. — Bloomberg

TORONTO: Strathcona Resources Ltd has increased its bid for oil sands producer MEG Energy Corp, seeking to break up the oil sands producer’s sale to larger Canadian rival Cenovus Energy Inc.

Strathcona, controlled by former investment banker Adam Waterous, is now offering 0.8 of a share for each share of MEG, valuing the Calgary-based target at around C$7.8bil or about US$5.6bil at current prices.