The BBC reported that the United States has approved CNOOC’s (NYSE:CEO,HKEX:0883) acquisition of Canada’s Nexen (NYSE:NXY,TSX:NXY). The deal has already been okayed by Canadian authorities, so approval from the US means that the path for the sale is now clear.
As quoted in the market news:
There have been concerns over China’s access to key US assets and regulators had previously blocked an attempt by CNOOC to buy a US-based firm.
The $15.1bn (£9.4bn) deal is China’s largest foreign takeover.
Joshua Zive of Bracewell & Guiliani, a Washington-based lobbying firm said the approval for CNOOC’s latest deal “is likely to be viewed as a positive development”.
“That, in the current climate, is a moment of significance,” he added.
Get Our Expert Guide to Oil Investing FREE!Download this FREE Special Report, Oil Investing: Oil Price Forecast and Oil Deposits Around the World