Sydney, Australia – Abu Dhabi’s state-owned oil company is leading a takeover bid for Australian energy group Santos, valuing it at US$18.7 billion, Santos said Monday.
Adelaide-based Santos has energy operations in Australia, Papua New Guinea, East Timor and the United States, and is a major supplier of liquefied natural gas in Australia and Asia.
The Abu Dhabi National Oil Company’s all-cash takeover offer amounts to $5.76 for each Santos share, equivalent to $18.72 billion for the entire company.
The price per share is 28 percent higher than Santos’ closing level on Friday.
Santos said its board “intends to unanimously recommend that Santos shareholders vote in favour of the transaction” if it can agree on terms and there is no better offer.
The Abu Dhabi state-owned energy firm made its bid via a consortium led by its own subsidiary, XRG.
Other members of the consortium include Abu Dhabi Development Holding Company and global investment firm Carlyle.
