Santos Receives $30 Billion Takeover Bid from Abu Dhabi-led Consortium
Deal News | Jun 16, 2025 | EIN
Australia's second largest oil and gas company, Santos, has received a $30 billion acquisition proposal from a consortium led by the Abu Dhabi National Oil Company (ADNOC) along with the Carlyle Group, known collectively as the XRG Consortium. This offer, which values Santos at US$5.76 (A$8.89) per share, represents a 28% premium over the company's last closing share price. The proposal is contingent upon exclusivity agreements and pending regulatory approval from several Australian bodies. The consortium's plan includes retaining Santos' headquarters in Adelaide and promoting local employment and investment in gas resources. The acquisition forms part of ADNOC's strategy to expand its presence in the global gas and LNG sectors. Since the announcement, Santos' share price has seen a significant increase of 12.7%.
Sectors
- Oil & Gas
- Investment Management
Geography
- Australia – The target company, Santos, is based in Australia, with operations integral to the national energy sector.
- United Arab Emirates – ADNOC, the leading entity in the bidding consortium, is based in the UAE, affecting its strategic international expansion efforts.
Industry
- Oil & Gas – Santos operates in the oil and gas industry, which is central to the acquisition bid from ADNOC, a prominent player in this sector.
- Investment Management – Carlyle Group's involvement indicates the presence of investment management, as they partner in the acquisition consortium for strategic portfolio expansion.
Financials
- $30 billion – Total value of the acquisition proposal made by the ADNOC-led consortium to acquire Santos.
- US$5.76 (A$8.89) – Per share offer price in the acquisition bid for Santos, marking a 28% premium on its last closing price.
- 12.7% – The increase in Santos' share price following the announcement of the acquisition bid.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Santos | Target Company | Company | Australia's second largest oil and gas producer currently considering a bid from the ADNOC-led consortium. |
| Abu Dhabi National Oil Company (ADNOC) | Bidding Company | Company | Leading member of the XRG Consortium, ADNOC is one of the world's major global oil and gas companies, aiming to expand its gas and LNG business. |
| Carlyle Group | Bidding Company | Company | Global investment firm and a part of the XRG Consortium along with ADNOC in the bid for Santos. |
| XRG Consortium | Bidding Company | Consortium | Partnership between ADNOC and Carlyle, formed to facilitate the acquisition of Santos. |
| Adam Martin | E&P Analyst | Person | Energy and production analyst who has been observing potential M&A activities involving Santos. |