(WO) — DNO ASA said it will not increase its $5.214-per-share all-cash offer for Capricorn Energy plc following an increased competing bid from Genel Energy.
DNO confirmed that the financial terms of its revised offer are final, maintaining what it described as a disciplined approach to M&A. The company also said it will not elect to implement the proposed acquisition by means of a contractual offer.
The decision follows Genel’s Sept. 25 announcement of an increased recommended cash offer for Capricorn. According to DNO, Genel has received irrevocable undertakings representing approximately 39.1% of Capricorn’s issued share capital.
DNO and Capricorn had announced revised terms for DNO’s proposed acquisition on Sept. 17, changing the transaction to an all-cash offer valued at $5.214 per Capricorn share.
Despite holding its offer at the current level, DNO said it continues to evaluate acquisition opportunities across the North Sea, the Kurdistan Region of Iraq (KRI) and other areas aligned with its growth strategy.
DNO also said it has held positive discussions with Egyptian authorities regarding its proposed Capricorn acquisition and continues to evaluate investment opportunities in Egypt.
The company added that it values its ongoing relationship with Genel, its partner in the Tawke license in the KRI.
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