- Oil giant BP has warned holders of its American Depository Shares of a so-called mini-tender offer, pitched substantially below their market price.

The bid to purchase up to 3m of the company's securities was made by TRC Capital Corporation, which has made many similar unsolicited offers for shares of other companies.

TRC has offered $39.00 per ADS, which BP said was a 4.5% discount to their closing price on 16 November, the last trading day before the offer commenced.

'In addition to being below-market, the offer by TRC contains other terms which may be disadvantageous to tendering ADS holders,' the company said.

'BP recommends that ADS holders reject the offer.'

Companies like TRC can avoid many disclosure and procedural requirements of the Securities and Exchange Commission by making offers for less than 5% of a company's shares.

The 3m ADSs were equivalent to 18m ordinary BP share, or around 0.08% of its total shares on issue.

At 2:32pm: [LON:BP.] BP PLC share price was -0.35p at 521.75p

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