Oct. 30 at 2:02 PM
GeoPark Ltd shares rose pre-market Thursday after the Latin American energy company rejected an unsolicited
$9 per share cash offer from Parex Resources. GeoPark’s board unanimously said the bid “significantly undervalues” the company and overlooks its growth and diversified portfolio.
The offer ignored projected production growth of 46% and a ~70% rise in adjusted EBITDA by FY2028, per GeoPark’s recent Investor Day plan. Following the rejection, Parex acquired an 11.8% stake, potentially paving the way for a special shareholder meeting.
CEO Felipe Bayon highlighted GeoPark’s Vaca Muerta expansion, adding ~60 million recoverable barrels and extending the 2P reserves life to about ten years, with ~20,000 boepd expected from the acquisition over three years.
$GPRK $PXT.X
