Shell suspends its $3 billion share purchase

Shell?said Friday that it would be pausing its $3 billion share purchase?programme between?June '12 and the market close of July 14 due to certain requirements relating to its deal with ARC Resources.

Shell, who announced its $3 billion program in May, said that any shares not purchased during the suspension would be rolled into the rest of the company's buyback programs for 2026, subject to approval by the board. Shell announced in April that it would purchase Canadian 'energy company ARC Resources for $16.4 billion, financed primarily with shares. Shell announced that it would pay ARC shareholders C$8.20 and 0.40247 Shell Shares for each share. This is around 25% cash and 75% Shell Shares at a premium of 20% to ARC Resources' average share price over the past 30 days.

ARC announced on Friday that the parties had entered into an agreement on June 6 regarding technical issues relating to how ARC shares worth?C$32.80 will be issued and distributed to shareholders.

ARC 'will hold a shareholders?meeting? on July - 14. Reporting by Stephanie Kelly, London; Raechel Thankam Jobs, Bengaluru. Editing by Shailesh Kuber and Louise Heavens

(source: Reuters)