Husky Energy Inc. is making a hostile bid to acquire MEG Energy Corp. in a transaction valued at $6.4 billion.
In a statement issued Sunday afternoon, Husky says the proposed merger “will create a stronger Canadian energy company.”
The new, Calgary-based operation would have the capacity to produce more than 400-thousand barrels of oil equivalent per day.
The proposal has been unanimously approved by Husky’s board of directors, and will be open for acceptance by MEG shareholders until Jan. 16.
Husky says MEG’s board refuses to discuss the deal, which led to the takeover bid.