A combination of factors has impacted the Consortium’s assessment of its indicative offer
The XRG-led Consortium recently announced that it has withdrawn its indicative offer and will not proceed with a binding offer for Santos, an Australian oil and gas exploration and production company, headquartered in Adelaide, South Australia.
While the Consortium maintains a positive view of the Santos business, a combination of factors, when considered collectively, has impacted the Consortium’s assessment of its indicative offer, XRG stated in an official press communique.
Following a comprehensive evaluation and considering all commercial factors and the terms of the Scheme Implementation Agreement (SIA) required by the Santos Board, the Consortium has determined that it will not be proceeding with the proposed transaction.
Constructive engagement
The Consortium extended its appreciation to the Santos management team for their assistance in the process, as well as all levels of government and other stakeholders for their positive and constructive engagement. This reinforced our confidence in Australia’s energy and investment environment, as well as the other locations that Santos operates.
The Consortium was prepared to undertake new long-term commitments to Australian energy production that would deliver meaningful benefits to domestic gas consumers and enhance regional energy security.
As a strategic long-term investor, XRG remains dedicated to pursuing value-accretive opportunities across gas & LNG, chemicals, and energy solutions, and has a rich and deep pipeline of investment opportunities which we will continue to pursue, the press communication concluded.
