Petroceltic may spark bidding war

Any pending formal takeover offer for Dublin exploration firm, Petroceltic from Middle Eastern player, Dragon Oil is expected by analysts to tempt other parties into a bidding war.

Petroceltic’s board yesterday conditionally welcomed an $800m (€636m) takeover proposal from Dragon Oil, sending its share price rocketing by over 26%.

While no firm bid had been made by Dragon — which is listed on the Irish Stock Exchange — the Dubai-based company yesterday confirmed that it was in detailed discussions regarding a possible cash offer of 230p per share for Petroceltic.