Suncor Energy has extended its $4.5 billion hostile takeover bid for its smaller peer Canadian Oil Sands (COS) until Jan. 8, but it hasn’t sweetened the offer.
The all-stock bid was to have expired on Friday December 4.
Suncor CEO Steve Williams said in a statement late Thursday the offer launched Oct. 5 remains “full and fair” in light of the worsening outlook for oil prices.
COS chairman Donald Lowry urged investors to do nothing.
“Extending the expiry of Suncor’s bid does not change the fact that it is substantially undervalued and opportunistic,” he said in a news release.
Both companies are partners in Syncrude which is located in Fort McMurray, Alberta. COS currently controls a 37 per cent of the project while Suncor has 12 per cent of the oil sands mine.