Occidental is winning Anadarko battle by a mile

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Occidental is winning Anadarko battle by a mile
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In the battle for oil driller Anadarko, an unsolicited bid from Occidental is beating the rival bid from Chevron by a mile. johnsfoley

Anadarko Petroleum is considering rival bids from U.S. oil drillers Occidental Petroleum and Chevron that value the company at up to $38 billion.

Warren Buffett’s Berkshire Hathaway plans to invest $10 billion in Occidental to help finance its unsolicited $38 billion cash-and-stock bid, which was made public on April 24.Chevron expects to cut $2 billion of annual costs and capital spending as a result of its deal, whereas Occidental expects $3.5 billion a year of savings.

Occidental shares are down 12 percent since Chevron’s deal with Anadarko was announced, based on their closing price on April 30. Chevron’s shares have declined 5 percent.

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