July 22 Spanish oil company Repsol SA
is considering a bid for Canada-based Talisman Energy Inc
, Bloomberg reported, citing people familiar
with the matter.
Repsol has identified Talisman as a top target and is
working with JPMorgan Chase & Co, one of the people said.
U.S.-listed shares of Talisman Energy, which has a market
cap of $10.20 billion, were up about 14 percent at $11.25 in
extending trading on Tuesday.
Repsol is looking for acquisition opportunities in OECD
countries that offer extra growth capacity, Chief Financial
Officer Miguel Martinez said in May after it exited the
The company completed a $1.3 billion stake sale in energy
In the same month, Repsol also said it had obtained $6.3
billion from selling shares in YPF and bonds given by Argentina
in compensation for the nationalisation of its majority stake in
Repsol said in June the company could have 9 billion euros
($12.23 billion) to invest.
Talisman, Canada's No. 5 independent oil and gas producer,
has been restructuring its operations and cutting debt in an
effort to boost its share price to satisfy disgruntled and
activist investors such as Carl Icahn.
Repsol and Talisman were not immediately available for
(Reporting by Mridhula Raghavan and Narottam Medhora in
Bangalore; Editing by Mohammad Zargham)