The Shell BG Group merger, worth around US$70 billion, has passed its final hurdle, after Chinese regulators have given it the green light.
Shell BG Group Merger
The deal can now go to be voted on by both Royal Dutch Shell and BG Group’s share holders.
Anglo Dutch Shell, have already made comments, stating that they would like to see the merger completed during the first half of 2016 at the latest.
Commenting on the news, Shell CEO, Ben Van Burden, said: “We’re grateful to MOFCOM for its thorough and professional review of the recommended combination, and I am delighted we now have all the pre-conditional approvals needed to move to the next important phase,”
“This is a strategic deal that will make Shell a more profitable and resilient company in a world where oil and gas prices could remain lower for some time. We will now seek approval from both sets of shareholders as we move towards deal completion in early 2016.”
BG Group’s Chief Executive, Helge Lund said: “Following today’s approval from MOFCOM, all pre conditional regulatory approvals for the combination have been received and we now move to the next phase.”
“I am pleased that we have continued to deliver a strong operating and safety performance throughout the offer period which is a credit to our teams across the business.”
“The proposed combination has strong industrial logic, particularly in deep water production and LNG, and will accelerate the delivery of value to our shareholders.”