Anadarko Petroleum Corp.’s board is awaiting a decision by Chevron Corp. to boost the terms of its takeover offer after indicating late Monday that it may agree to take the increased bid by Occidental Petroleum Corp. (Oxy).

The Anadarko board said it unanimously agreed that Oxy’s bid offered last Sunday was a “superior proposal,” comprised of $76/share, with $59/share in cash and 0.2934 share for each Anadarko share. Oxy’s initial offer was structured as $38.00/share cash and trading each Anadarko share for 0.6094/share of Oxy.

The revised Oxy proposal represented an estimated premium of 23.3% to Chevron’s initial offer, structured as 50-50 cash and shares, which was estimated to be worth around $61.62/share as of market close last Friday (May 3).

Occidental has obtained committed financing for the entire cash portion of the transaction, and the deal does not require approval by its shareholders.

Chevron now has four business days, or until Friday (May 10), to revise its offer or issue another proposal.

“Anadarko is required to and will make its representatives reasonably available to negotiate with Chevron during this period with respect to such proposed revisions or other proposal, if any,” the Houston operator’s board said.

If it agrees to the deal with Oxy, Anadarko would be required to pay Chevron a $1 billion termination fee. Because of the fee, Anadarko's board said it “reaffirms its existing recommendation of the transaction with Chevron at this time.”

In response to Anadarko’s decision, Oxy management said, “We have long been convinced that a strategic combination with Anadarko represents a compelling opportunity for the shareholders of both Occidental and Anadarko...We look forward to Anadarko completing the next steps under its existing merger agreement and the prospect of executing our merger agreement with Anadarko to complete this exciting transaction.”