RE:RE:RE:RE:RE:RE:RE:RE:RE:Contrarian investor Apollo sees value in Colombian oilsI believe that the bidding war can push the offer for PTA even higher than C$1, which is 3 times its 2014 EBITDA even if the company produces 8,000 boepd.
And right now, we know that:
- Parex will have US$150 million FREE CF in 2015 with Brent at $85/bbl and wants to grow its operations, as the CEO has said many times.
- Canacol just got the support from Apollo (APO, AINV) to grow its operations.
- Pacific Rubiales wants to replace 60,000 boepd from its Rubiales oilfield by 2016, because the rights for its exploitation will pass to Ecopetrol (EC) by 2016.
- VETRA has the support from two billion dollar funds (CIPEF and ACON) that missed the bidding war for SUROCO.
And this is what Calderon Berti, VETRA's President said in July 2013 when the two funds acquired VETRA:
"Together with our former partners of Inveravante, we have completed a phase of consolidation and growth that now, with the participation of our management, technical and other staff, together with our new partners Acon and CIPEF, will be strengthened to make Vetra one of the most important companies in this sector in the region," he said in a statement.
Having at least 4 potential suitors is a very good starting point that translates into a very good offer.