zodiacting
Posts: 6
Join date: 2010-06-11
 |  Subject: Will Sinopec take over BP? Fri Jun 11, 2010 5:09 pm | |
| There is some guess theses days that whether Sinopec will take over BP as the latter one is facing the serious gulf oil leaking problem.
BP listed as No.4 in the World's 500 Fortunes in 2009 with a total operating income of 367.053 billion USD, as Sinopec was No.9 with a total operating income of 207.814 billion USD. But still, Sinopec's operating income was 40% less than BP.
On the other hand, so far till June. 10th, BP has shown a put more than 1.43 billion dollars in solving the leaking. Although BP needs to compensate a huge amount of money for the damaged industries around gulf and support the daily lives of the people there, it is possible for BP to solve the challenge by getting loans from the banks or publish bonds or sell part of the shares to raise the money that needed for compensation. So, it would probably not the priority option for BP to merge or being take over by another firm.
Moreover, the New UK Prime minister Cameron said on Thursday that UK government would help BP to overcome the current situation, which lead to a jump on BP's stocks in UK stock market with a 8% increase and a 12.3% increase in NYSE at the end of June 10th.
So, the taking over plan is still on the way. Will keep on tracking. |
|
Batman
Posts: 785
Join date: 2009-08-06
Age: 23
Location: NYC
| | Subject: Re: Will Sinopec take over BP? Fri Jun 11, 2010 11:07 pm | |
| | zodiacting wrote: | There is some guess theses days that whether Sinopec will take over BP as the latter one is facing the serious gulf oil leaking problem.
BP listed as No.4 in the World's 500 Fortunes in 2009 with a total operating income of 367.053 billion USD, as Sinopec was No.9 with a total operating income of 207.814 billion USD. But still, Sinopec's operating income was 40% less than BP.
On the other hand, so far till June. 10th, BP has shown a put more than 1.43 billion dollars in solving the leaking. Although BP needs to compensate a huge amount of money for the damaged industries around gulf and support the daily lives of the people there, it is possible for BP to solve the challenge by getting loans from the banks or publish bonds or sell part of the shares to raise the money that needed for compensation. So, it would probably not the priority option for BP to merge or being take over by another firm.
Moreover, the New UK Prime minister Cameron said on Thursday that UK government would help BP to overcome the current situation, which lead to a jump on BP's stocks in UK stock market with a 8% increase and a 12.3% increase in NYSE at the end of June 10th.
So, the taking over plan is still on the way. Will keep on tracking. |
If BP makes good with the Obama Administration on its promises, all will be fine. However, if the spill looms over the summer season, things will get ugly in a hurry (if they're not already). I don't really think Cameron has much say in this matter.
BP can start making right by not paying a dividend to shareholders. Though, this could infuriate equity holders and the holders could push for a sale in order to maximize their value. Tight rope act indeed. Welcome to the circus of oil spills. |
|
