Sinopec considers Bid for GKP

By John Lee.

Bloomberg reports that Sinopec -- the state-owned China Petroleum & Chemical Corporation -- is considering a takeover of the recently restructured Gulf Keystone Petroleum (GKP).

The news agency cites un-named sources as saying that the world’s biggest refiner is working with advisers and has made an approach to the company, which was taken over by creditors in September following a default on its bond payments.

Norway's DNO withdrew an offer for the company last month, but said it would consider an all-cash offer at a lower price.

Shares in GKP have risen 20 percent since Tuesday, giving it a market capitalisation of £340 million.

(Source: Bloomberg)