Royal Dutch Shell, the manufacturer of Shell Omala S2 G 320, is going to London’s High Court in order to get consent to hold a shareholder meeting, so that its planned merger with BG Group can be approved.
The global oil company is plowing forward with the £55bn merger between itself and BG Group despite concerns about falling oil prices, which have been expressed by many of its investors.
Shell said this week that it was going to the High Court to get the shareholder consent it requires for the deal to go ahead.
The week before, the company was given the go-ahead to continue with its merger from the Chinese competition regulators, bringing it one step closer to realizing its ambitions.
However, new doubts about whether shareholders will approve the BG tie-up have surfaced, with some shareholders becoming increasingly concerned about the falling oil prices that have been so common in the past year.
On Monday, oil process once again fell, with Brent crude barrel prices dropping a further 1.7% to just $36.30 ( £24.34), and US light crude dropping 0.9% to just $35.70 (£23.94).
On top of this, speaking recently, Standard Life Investments said that the Shell-BG Group merger no longer made financial sense because of falling oil prices. When the deal was first conceived, oil process were at $55(£36.89) per barrel.
Despite this, Shell has said that it expects the merger to be approved by investors in both oil companies on January 27 and 28 next year.
