Noble Energy shareholders approved its sale to energy giant Chevron in a $ 4 billion stock deal

Noble Energy shareholders on Friday night approved its sale to energy giant Chevron in a $ 4 billion stock deal. Noble conducted a virtual vote on the deal, which was signed by the board about three months ago. The deal was approved despite activist hedge fund Elliott Management buying a stake in Noble shares - and seeking to halt the deal, claiming Chevron is not paying a fair amount.
Chevron, the second-largest oil company in the United States, announced the purchase of the entire shares of Noble, which owns the Tamar, Leviathan and Aphrodite reservoirs in Israel and Cyprus, for $ 5 billion, not including $ 8 billion in debt. This is due to the fall in the price of returning oil, which led to falls in the shares of energy companies, including the share of Chevron, which fell by 20%.
Noble investors are expected to receive 0.1191 of Chevron shares for every share they own - and a total of 3% of Chevron's issued capital. The original allotment represented a value of $ 10.38 for the Noble share, a 10% premium to the average closing price of the stock in the three months preceding the transaction. However, due to the decline in Chevron shares, the consideration for each share was reduced. Tonight, Noble shares traded at $ 8.46, representing a value of $ 4.1 billion.