University:
Massachusetts Institute of Technology
Course:
15.649 | The Law of Mergers and Acquisitions
Academic year:

2023
Views:

401

Pages:

1
Author:

gewoekerdodx

PENNZOIL V. TEXACO 12/28/83 • Pennzoil announces tender offer for 16mm shares @ $100 each. 1/1 – 1/2/84 • Negotiations among Pennzoil, Museum and Trust. • Memorandum of Agreement signed, offer increase to $110/share. 1/2/84 • Memorandum of Agreement presented to Getty board; rejected because price too low. 1/3/84 • Getty’s Oil investment banker contacts other companies (including Texaco), seeking higher bids. 1/3/84 • Getty Oil’s board reconvenes to consider new Pennzoil offer, which adds a $3 per share “stub” relating to sale of ERC. • Board is advised by Museum’s counsel that $5 stub counteroffer will be enough to make a deal; board approves counteroffer. • Revised proposal communicated to Pennzoil and they accept. • Getty Oil board adjourns; no further formal resolutions. • Presss release • Texaco, having been contacted by Getty Oil’s bankers, has internal meetings. • Pennzoil board ratifies “agreement.” • Texaco board authorizes offer. • Museum meets with Texaco, strikes a deal at $125 per share. • Getty Oil board accepts Texaco offer in a telephone meeting. • Merger agreement signed. 1/4/84 1/5/84 1/6/84