* Boosts stake to 12 pct
* Exco says has pact blocking any Ross takeover offer
(Adds background about bids, company)
BANGALORE/NEW YORK Aug 8 Billionaire investor
Wilbur Ross increased his stake in Exco Resources Inc (XCO.N) to
12 percent, just days after the oil and gas producer said it had
an agreement prohibiting Ross from making an offer to acquire
control of the company.
Ross's investment group, WL Ross & Co, held a 12 percent
stake in the Dallas-based company as of Aug. 4, according to a
filing with the U.S. Securities and Exchange Commission.
On July 27, Exco said it had entered into a standstill
agreement with Ross, its second-largest shareholder, prohibiting
him from owning more than 20 percent of its outstanding shares or
making an offer for control of the company. [ID:nN1E76Q2DG]
Ross held a 9.8 stake as of a February regulatory filing.
Exco has been a takeover target since November 2010, when
Chief Executive Douglas Miller, with backing from oilman T. Boone
Pickens and other investors, bid about $4.36 billion for it.
Since then, Miller has lowered his bid by about 10 percent
and Exco, which was open to proposals from other parties as well,
completed a strategic review without striking any deal.
Ross had been considering joining in the effort to buy Exco,
according to a regulatory filing in February.
The bulk of Exco's output is natural gas, a fuel with a price
burdened by massive supply. The company has oil and natural gas
assets in the Haynesville shale in East Texas and North
Louisiana, and the Marcellus and Huron shales in Appalachia and
the Permian Basin.
EXCO shares closed at $13.86 on Friday on the New York Stock
(Reporting by Vaishnavi Bala in Bangalore, additional reporting
by Megan Davies in New York; Editing by Roshni Menon and John