Valiant Petroleum 's (VPP) strategic review isn't quite going to plan. Investors hoping for a sale of the company at a hefty premium will have been disappointed by Valiant's announcement that it is still ongoing.
There's also a catch. Chief executive Peter Buchanan has temporarily stepped aside so he can put together his own buyout proposal, the terms of which are still being formulated. Valiant also announced it is now considering “a number of different proposals, including corporate transactions and standalone organic growth alternatives”.
Even if a buyout offer from Mr Buchanan were to come through - which is still far from certain at this stage - it suggests there may not be as many interested parties as initially thought. Furthermore, we can’t imagine a related-party transaction will take place at a significant premium to Valiant's current share price.
