Dragon Oil bid ‘has a 50% chance’

Emirates National Oil Company has a 50% chance of succeeding in its bid to take full control of Irish-listed explorer Dragon Oil, according to UK analysts.

ENOC owns nearly 54% of Dubai-based Dragon and last week proposed a possible cash offer of £7.35 per share for the entirety of the firm.

Merrion Stockbrokers suggested the £3.6bn (just over €5bn) proposal was opportunistic and undervalued Dragon. It said it expects a higher offer of at least £8.05 per share/£3.95bn to materialise over the next six weeks.