Zargon buys Masters

Article Excerpt

MASTERS ENERGY, symbol MSY on Toronto, has officially been taken over by ZARGON ENERGY TRUST $15.52 (Toronto symbol ZAR.UN; SI Rating: Speculative) (403-264-9992; www.zargon.ca; Units outstanding: 20.1 million; Market cap: $311.5 million). Zargon was able to get a majority of Masters’ shareholders to vote in favour of its cash-and-unit offer at a meeting in April. Masters shareholders got $0.37 a share in cash, plus 0.0957 of a Zargon unit. The offer was worth a total of $1.90 per Masters share, a gain of over 64% from before the offer. In all, buying Masters cost Zargon $41.4 million. Masters added 1,275 barrels of oil equivalent per day to Zargon’s production. Zargon now expects its production to average 10,200 barrels per day this year. Zargon Energy Trust is still a buy. buy…