Drillsearch Energy Limited announced an increased offer (Offer) by its wholly owned subsidiary Drillsearch (Central) Pty Limited to acquire all of the ordinary shares in Ambassador Oil and Gas (Ambassador) it does not already own for 1 Drillsearch share per 5.4 Ambassador shares to now include 5 cents cash per Ambassador share.

Drillsearch Chairman Mr Jim McKerlie said:'We believe our scrip and cash offer for Ambassador is compelling compared to Magnum Hunter's competing offer as it represents a premium to that offer and provides Ambassador shareholders with the opportunity to hold shares in Drillsearch, an ASX listed domestic company. The competing Magnum Hunter offer would result in Ambassador shareholders owning New York Stock Exchange listed shares and as such would be subject to a different regulatory regime, have exposure to foreign exchange risk and cross border tax complexities'.

Tags: Drillsearch Energy