Friday, July 9, 2010

BP (NYSE:BP) Changing Takeover Tune as Interest Surges

For a time it seemed BP (NYSE:BP) was going to do what it could to fight against being taken over, but a report from FOX Business Network's Charles Gasparino, says the number of companies pursuing BP is skyrocketing, and BP is evidently considering every one of them.

The liability challenges faced by BP seem to be too much to overcome if they attempt to focus on any other area, and that, plus attempting to plug the well, is probably all they will be able to handle financially, and that's even questionable, depending on how high the bills, claims and lawsuits go.

Showing interest in BP is different than making an offer though, and it's highly unlikely a company would take them over before a clearer picture emerges as to the depth of their liabilities in the situation.

With the apparent plugging of the oil well coming closer, that would be a major step in moving forward for a lot of companies, as it would get an accurate look at how much oil has in reality flowed into the Gulf, as now it's simply not known, and estimates too uncertain to get a real clue.

That would entail a major cost factor related to the Clean Air Act, and could cost more than anything, depending on how the accident is designated in relationship to it. This determines the cost-per-barrel BP would have to pay for.

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