09:36 AM EDT, 05/30/2025 (MT Newswires) -- (The earlier story has been updated to reflect MEG Energy's ( MEGEF ) statement.)

MEG Energy ( MEGEF ) on Friday advised its shareholders to take no action on Strathcona Resources' ( STHRF ) tender offer. The company acknowledged the start of the Strathcona bid to acquire its shares for 0.62 a Strathcona share and $4.10 cash.

In a statement, MEG said its board, together with financial and legal experts, will consider the offer and make a recommendation within 15 days.

Earlier Friday, Strathcona announced the launch of its offer to acquire MEG Energy ( MEGEF ), and also reported that majority shareholder Waterous Energy Fund (WEF) has pledged to invest $662 million in the company.

Waterous Energy Fund, which owns 80% of Strathcona, will purchase 21.4 million Strathcona shares at $30.92 apiece. According to a statement, this is the largest investment at one time by a single shareholder, public or private, in the Canadian upstream oil and gas sector since 2014. The investment is expected to be completed by July 13.

"WEF's major further investment in Strathcona reflects our view that more than eight years into building Strathcona our best years are in front of us. As part of the Offer, we are asking MEG shareholders to join us as fellow shareholders in Strathcona and trust the Strathcona team as stewards of their capital," said Adam Waterous, Strathcona executive chair and WEF chief executive.

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