Chinese government doesn’t approve the purchase of Bankers Petroleum

Chinese government doesn’t approve the purchase of Bankers Petroleum

Bankers Petroleum announces the postponement of the transaction of the corporation. The scenarios if the sale fails completely

Tirana, 1 August 2016/Independent Balkan News Agency

By Edison Kurani

Bankers Petroleum confirmed on Monday (01.08) the postponement of the sale of the corporation to Geo-Jade Petroleum Corporation. The decision follows the fact that without issuing any official public statement, the Chinese government didn’t approve the purchase of Bankers.

The agreement for the sale of Bankers was reached on 19 March 2016. According to this agreement, Geo-Jade was to acquire all Bankers’ shares through its branches at a price of C$ 2.20.

Laura Çela, representative of Bankers told IBNA that the finalization of the transaction remains subject to the approval by the Chinese State Administration of Currency Exchange (SAFE).

She confirms that the deadline for the approval by the People’s Republic of China has been postponed to 30 September 2016.

Meanwhile, Geo-Jade has agreed that if SAFE doesn’t approve the agreement until 30 September 2016, Bankers is entitled to 20 million USD of compensation, as a fee of termination if Bankers decides to terminate the agreement as a result of the lack of approval. /