Apache Surges on Takeover Report Disavowed by Occidental

Updated on
  • Employees at Apache gathering to discuss North Sea layoffs
  • Occidental has ‘no knowledge about’ report on recruiting site

Apache Corp. jumped as much as 5.6 percent after a website reported Occidental Petroleum Corp. planned to acquire the oil and gas explorer. Occidental said it didn’t know anything about the report.

Apache shares rose 3.8 percent to $57.23 at 10:06 a.m. in New York, after earlier reaching $58.21, the highest since July 1. The Houston-based company has advanced 28 percent this year. Occidental, the world’s largest independent crude producer, fell as much as 1.8 percent to $74.98.

The website reported on Wednesday that Apache was preparing to inform employees at a so-called town hall meeting the same day that it would be taken over by Occidental. Castlen Kennedy, an Apache spokeswoman, declined to comment on the acquisition topic.

“We have no knowledge about that report,” Melissa Schoeb, an Occidental spokeswoman, said in an interview on Wednesday. She declined further comment.

Kennedy did note that the company is meeting with employees Wednesday to discuss layoffs. Apache plans to cut 37 jobs at its North Sea unit, the company said in an e-mailed statement.

“While the company has made progress reducing its costs, further reductions are necessary to maintain a sustainable business and further strengthen Apache’s commitment to its North Sea operations now and in future,” according to the e-mailed statement.

(Updates with comment from Occidental in fourth paragraph.)
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