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This British B&B owner may be forced to buy out a listed oil company because her son 'accidentally' bought half its stock

May 13, 2015, 13:47 IST

The owner of a small bed and breakfast establishment in the sleepy town of Malvern Hills, Worcestershire in England, may be forced to buy out the New World Oil and Gas company because her son "accidentally" purchased half of the company shares.

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Judith Williams, the owner of Wyche Keep Country House, is the subject of a Takeover Panel discussion because her son, Christopher, bought 342 million shares in the oil company, which explores and produces energy in Belize and western Denmark, believing that he was snapping up a 10% stake in the group for £1.5 million ($2.4 million).

Unfortunately, his share purchase, on behalf of his mother through a broker, ended up being at 48.7%. Now, because she is a significant stakeholder, Britain's Takeover Panel said that she may have to make a mandatory bid for the rest of the company under current law. However, the final decision has not yet been made.

New World Oil and Gas is a Jersey based exploration and development company and has projects in Belize and Denmark.

"There has been confusion regarding the share register which will become clearer once the funding exercises are concluded and actual percentage holdings of individuals are ascertained," said New World Oil and Gas in a statement. "This will determine whether or not the company will be bid for. In the meantime management and its advisers are focused on securing capital to deliver value for its investors."

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