Irish oil company takes Melrose

Irish exploration company Petroceltic is set to take control of British oil exploration and production company Melrose Resources in a £165m (€210m) deal which will basically double the size of the Dublin-based firm.

The merger — which is, in effect, a reverse takeover by Petroceltic of the Edinburgh-headquartered company — will double Petroceltic’s market capitalisation to around £350m.

The enlarged company will be 54% owned byexisting Petroceltic shareholders and 46% owned by Melrose’s shareholder base.