Chinese company withdraws proposal to acquire AWE

Australian energy company, AWE Limited said the indicative proposal to acquire 100 percent of the company’s shares by China Energy Reserve and Chemical Group Australia (CERCG) has been withdrawn.

CERCG initially proposed to acquire 100 percent of AWE shares for a price of $0.71 cash per share.

The indicative proposal included the acquisition of any shares that are issued by AWE under the recently announced Share Purchase Plan (SPP).

However, on Tuesday, AWE received a notice from CERCG, that it has formally withdrawn its proposal.

UBS AG, Australia Branch, and Highbury Partnership were selected as financial advisors and Allens as legal advisor upon receiving the indicative proposal.