Merge and acquisition activities for investment and restructuring of oil and gas companies in a low oil price environment
Abstract
During the period of prolonged decline of oil prices, oil and gas companies tend to focus on portfolio restructuring towards streamlined operation to improve business performance. These companies also make prudent investment strategies, looking to buy good assets with cheap price which can generate revenue immediately to ensure the current liquidity or potential assets for future growth. Merger and acquisition (M&A) is the useful tool for oil and gas companies to restructure their portfolio and invest selectively in order to overcome the difficult period (lower for longer) or divest and acquire new potential assets (divest to invest) in order to optimise the portfolio. The paper provides an outlook of global oil and gas M&A activities as a reference for investment and restructuring activities of the Vietnam Oil and Gas Group.
References
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