Kosmos Energy has announced that it is no longer pursuing the acquisition of Tullow Oil, effectively ending speculation of a potential merger that had surfaced following media leaks earlier this month.
The proposed all-share merger, first confirmed on December 12, 2024, was still in its preliminary stages when due diligence began.
Had the deal gone through, it was expected to significantly enhance Africa’s oil production landscape.
In a statement dated December 17, 2024, the Tullow Oil Board expressed confidence in the company’s future as an independent entity.
“The Board of Tullow acknowledges Kosmos Energy Ltd’s announcement confirming that it no longer intends to make an offer for the company following the December 12, 2024 announcement regarding a potential all-share offer,” the statement read.
The Board further emphasized its ongoing efforts to optimize Tullow’s capital structure and manage its outstanding debt obligations.
This follows progress on the Branch Profits Remittance tax arbitration, with a final decision expected imminently.
Tullow reiterated its focus on strengthening its financial position and delivering shareholder value as it moves forward independently.
The withdrawal of the offer comes amid Tullow’s ongoing efforts to strengthen its operational and financial position within the energy sector.
