A.P. Moeller-Maersk A/S said Friday that it has received Danish regulatory approval for the sale of its oil business to Total SA TOT, -0.28% paving the way for completion of the previously announced $4.95 billion deal.
As part of the agreement, Total will take over Maersk Oil’s organization, portfolio, obligations and rights with minimal preconditions.
Maersk will retain an interest in the sector through 97.5 million shares in the French energy group, equal to around 3.76% of Total.
The Danish Energy Agency’s approval of the sale, which was announced in August, is conditional. Among the conditions, Maersk must assume a secondary liability for the decommissioning of existing Danish offshore facilities corresponding to Maersk Oil’s 31.2% interest in the Danish Underground Consortium should Total be unable to cover such costs.
As previously announced, closing of the deal is expected to take place in the first quarter of 2018.
The approval doesn’t change Maersk’s previous financial guidance for fiscal 2018, it said.