Shell offers 50 percent premium to buy BG for $70 billion

April 8, 2015 7:24 AM

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Shell offers 50 percent premium to buy BG for $70 billion

(Reuters) - Royal Dutch Shell (RDSa.L) agreed to buy smaller rival BG Group (BG.L) for $70 billion in the first oil super-merger in more than a decade to close the gap with the world's largest oil firm U.S. ExxonMobil (XOM.N).

In a joint statement, the two firms said Shell would pay a mix of cash and shares that would value each BG share at around 1,350 pence ($20). It said this represented a premium of around 52 percent to the 90-day trading average.

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