Takeover Bid

A Chinese state-controlled oil company made a $18.5 billion unsolicited bid for Unocal today, igniting the first-ever takeover battle between corporations in China and the United States.

The bold bid by the China National Offshore Oil Corporation, or CNOOC, may be a watershed in Chinese corporate behavior and demonstrates the increasing influence of Wall Street's bare-knuckled tactics in Asia. The offer also illustrates how crucial oil and gas resources are to China given its huge growth.

CNOOC's bid, which comes two months after Unocal agreed to be sold to the American energy giant Chevron for $16.8 billion, is expected to provoke a fierce debate in Washington about the nation's trade policies with China and the role of the two governments in the growing trend of deal making between companies in both countries...

That explains why Bolton and the AEI keep foaming at the mouth about China. Their Carlyle bosses don't like it when people not part of their club play their game. Especially when their competitors own all their markers.

Thanks to Scout Prime for the heads up.