A consortium led by the Abu Dhabi National Oil Company (ADNOC) has pulled the $18.7bn takeover offer for Australia’s energy major Santos. The original offer was submitted on June 16 this year. Santos then agreed to several extensions for the process and exclusivity deed to enable the finalisation of the scheme implementation agreement, to enable the consortium to obtain all necessary approvals for the binding transaction. On 15 September, Santos advised the consortium that the Australian firm expects to enter into a scheme implementation agreement at the agreed offer price of $5.626 per share if a binding proposal is received on or before September 19. The XRG consortium, consisting of ADNOC subsidiary XRG, Abu Dhabi Development Holding Company, and Carlyle, notified Santos of its decision to withdraw its proposal and not proceed with the potential transaction. According to Santos, the consortium would not agree to acceptable terms which protected the value of the potential transaction for the Santos shareholders. Santos stated that it would continue to successfully execute its strategy to deliver superior shareholder value and generate stable cash flows. “With production set to rise as Barossa and Pikka phase 1 come online, and unit production cost expected to trend lower over time, our strategy is clear – generate cash, reward shareholders, reinvest to backfill and sustain our infrastructure, and build and grow our production, while continuing to operate safely and reliably,” said Keith Spence, Santos chairman. googletag.cmd.push(function() { googletag.display('div-gpt-ad-1_95_0_1_2'); }); TagsAustralia United Arab Emirates