Suncor Urges Canadian Oil Sands Shareholders To Tender Shares To Its Offer

(RTTNews) - Canadian oil and gas company Suncor Energy Inc. (SU, SU.TO), which has launched a hostile C$4.3 billion bid to acquire oil-sands producer Canadian Oil Sands Ltd. (COSWF, COS.TO), said it has sent a letter to the target company's shareholders. Suncor strongly encourages Canadian Oil Sands or COS shareholders to tender to its offer.

According to Suncor, the letter outlines the value of its offer to purchase all of the shares of COS against the company's poor performance and track record. It also details what Suncor believes are the severe risks facing COS as an independent company both now and in the future.

"By tendering to our offer, you will receive a significant premium to the pre-offer value of your COS shares and an immediate dividend increase of 45% above what you get today from COS," Suncor said in the letter.

Suncor noted that its offer expires on Friday, January 8, 2016 at 6:00 pm Mountain Time, or 8:00 pm Eastern Time.

In early October, Suncor Energy said it has offered to acquire Canadian Oil Sands for about C$4.3 billion, or $3.28 billion, in an all-stock deal.