The Independent Committee, which has been so advised by Credit Suisse and Lazard, considers that the Offer materially undervalues the Company. In providing their advice, Credit Suisse and Lazard have taken into account the commercial assessments of the Board of ENRC. The Independent Committee cannot recommend the Offer to Relevant ENRC Shareholders at the current level.
The chairman of ENRC's Independent Committee, Dr Mohsen Khalil, said:
The Independent Committee is very disappointed by the value of the Offer, which it believes materially undervalues ENRC, its fundamentals, the intrinsic value of its underlying assets and its growth prospects. In agreeing to request extensions to previous PUSU deadlines, the Independent Committee took into consideration ENRC shareholder requests for the opportunity to consider the merits of an Offer, but expressed its views to the Consortium in no uncertain terms that the Initial Proposal undervalued ENRC and its expectations of an improved value for shareholders in the final Offer.