Oil and gas company, Apache Corporation, has received a hostile takeover from a yet unidentified company for the sum of US$18 billion.
Reports have indicated that Apache has not only rejected the offer, but has instructed investment bank, Goldman Sachs, to act as an advisor and arrange a defence of any further takeover moves by the unidentified company.
No comment has been made by Apache, however it is obvious from its employment of Goldman Sachs, that they wish to remain independent from any of their bigger rivals. However, analyst expect the unidentified company to attempt at least one further takeover, with a higher bid in the coming days.
The firm has invested heavily in the US Shale market over recent years, and with the Shale boom of the 2000s now firmly gone, Apache is left with a lot of under performing shale license and fields on its books.
Further, Apache also invested heavily in Australia and Argentina, although the projects it undertook in the territories were ultimately failures.
Losses continue to grow for the company, as its 3rd quarter posting for 2015 as around US$5.7 million, compared with the same quarter in 2014 when the loss was US$1.4 million.
It all adds up to put the independent oil and gas producer in a prime position to be taken over by a rival firm in a much healthier state.
Apache also last week celebrated the 40th anniversary of the switch on of its giant offshore Forties Field, in the UK North Sea. Ironically, the 40 year old Forties field is one of the firms most profitable assets.