The Financial Post reports in its Saturday edition that chief executive officer Jon McKenzie says Cenovus Energy has secured sufficient shareholder support to complete its takeover of MEG Energy, expecting to finalize it this month despite a third delay in the acquisition vote.
The Post's Meghan Potkins writes that Mr. McKenzie said during Cenovus's third quarter earnings call that 86 per cent of MEG investors have approved the takeover, exceeding the two-thirds support needed to finalize the deal.
Mr. McKenzie said a former MEG employee with about 4,000 shares filed a complaint about the deal, leading to a regulatory inquiry and the postponement of Thursday's vote. "We do not expect this inquiry to have any impact on the transaction," Mr. McKenzie said, adding he expects the deal will close later this month. "Cenovus remains resolute in our commitment to this transaction. When completed, this acquisition, combined with the organic growth we are already delivering across our business, is transformational to this company."
Questions raised about a deal struck between former rival suitors for MEG have resulted in another last-minute postponement of a shareholder vote on a takeover offer for the oil sands producer.
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