The acquisition would be the first time an Asian state investor has bought its Canadian partner in a gas project, and is likely to be scrutinised by Canadian regulators.
The Progress board has already approved the takeover, which is the smaller of two bids by state-owned Asian firms for Canadian energy companies.
China’s CNOOC wants to pay US$15.1 billion (RM48 billion) for Nexen Inc in what would be China’s largest foreign deal.
Along with shareholders who will vote next month, that takeover must also be approved by the Chinese, Canadian and US governments.
Petronas initially offered to pay C$20.45 per share in June for Progress, then raised its price in late July to counter a competing bid from an unknown third party, driving Progress’ shares up to more than C$22.00 at one point.
Progress also said it has received a “no-action letter” from Canada’s competition commissioner of competition about the takeover, it said in a statement dated August 28.
“The ‘no-action letter’ confirms that the commissioner has reviewed the arrangement and concluded that she does not, at this time, intend to make an application for a remedial order”, it said.
Petronas declined to comment today. — Reuters