BG Group
Cost of Shell share buyback $25bn
Depending on which way you look at it, both BG Group and Royal Dutch Shell have got the worst of their proposed merger. Both sets of investors might comfort themselves, then, that it has been pitched about right.
From BG’s perspective, there is no question that they are being asked to sell at the bottom of the market. They will end up with 19 per cent of the merged group, but in return for contributing assets are, by some arguments, rather better than on the other side.
The amount they are getting back is somewhere short, as the Shell price stands, of the BG share price at the start of last year, before things began to go