China's Cnooc to Buy Nexen for $15.1 Billion

NEW YORK ( TheStreet) -- China's Cnooc ( CEO) said Monday it reached an agreement to buy Nexen ( NXY), the Canadian oil and gas producer, for $15.1 billion in cash.

Cnooc's offer of $27.50 a share is a premium of about 60% to Nexen's closing price Friday of $17.06.

The deal is expected to close in the fourth quarter.

Cnooc is China's largest offshore oil company. It said the deal would allow it to expand to expand to Canada, Nigeria and the Gulf of Mexico.

-- Written by Joseph Woelfel

>To contact the writer of this article, click here: Joseph Woelfel

>To submit a news tip, send an email to: tips@thestreet.com.

More from Stocks

Market Can't Handle the Wild Ride: Cramer's 'Mad Money' Recap (Thursday 5/24/18)

Market Can't Handle the Wild Ride: Cramer's 'Mad Money' Recap (Thursday 5/24/18)

Replay: Jim Cramer on North Korea, Oil Prices, Apple and Carnival Corporation

Replay: Jim Cramer on North Korea, Oil Prices, Apple and Carnival Corporation

Canopy Growth: First Cannabis Firm on the NYSE Fails to Generate Buzz

Canopy Growth: First Cannabis Firm on the NYSE Fails to Generate Buzz

Video: This Startup Connects Buyers and Sellers of Legal Marijuana

Video: This Startup Connects Buyers and Sellers of Legal Marijuana

Dow, S&P 500 and Nasdaq Tumble After Trump Calls Off North Korea Summit

Dow, S&P 500 and Nasdaq Tumble After Trump Calls Off North Korea Summit