NORWEGIAN energy group DNO has upped its stake in Faroe Petroleum, acquiring 2.3 per cent of the outstanding shares in the group.

This takes DNO’s stake in the Aberdeen oil and gas developer to 27.68%, just one day after it acquired two huge tranches of shares in Faroe, becoming its largest investor from a standing start.

DNO, which is listed on the Oslo stock exchange, first bought the 15.37% of shares held by Israeli’s Delek Group in a £70 million deal, before acquiring a further 10% stake through a reverse book building process.

The additional shares were purchased for 125p, in line with Tuesday’s purchases.

READ MORE: Faroe Petroleum stake fetches £70m as group makes big find

Faroe issued a statement saying 125p “substantially undervalues the company and its prospects”.

The group also confirmed that it has not had any discussions with DNO in relation to the purchases.

DNO has stated it has no intention to bid for the company, which it would be required to do should its shareholding reach 30%.

Shares in Faroe, which revealed two significant finds in the Norwegian North Sea on Wednesday, closed last night at 125p, up 6.1%.

DNO is run by executive chairman Bijan Mossavar-Rahmani, who holds the same role at RAK Petroleum, the largest shareholder in DNO.