Royal Dutch Shell Plc has won the backing for its takeover of BG Group Plcfrom a body that advises many of its largest shareholders.
Shell’s biggest ever deal has “compelling strategic rationale” and “significant positive economics to be realized within a relatively short time frame,” Institutional Shareholder Services said in a report dated Thursday. “Support for this transaction is warranted.”
Shell is on the brink of pulling off its biggest acquisition, but oil’s collapse to less than $35 a barrel from about $55 on the day the deal was announced in April has prompted some investors to question whether the company is paying too much. The energy producer has justified the deal by saying it would boost its ability to maintain dividends, make it the world’s largest LNG producer and give it new assets from Australia to Brazil.
Brazil Energy Insight 
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