Capricorn Energy, the Edinburgh-based oil and gas explorer, has switched its recommended offer to Norwegian bidder DNO which has gatecrashed a deal with Genel.
DNO is offering $396 million (£292m) in cash which is $36 million higher than the offer from Genel which the board had previously recommended.
The Capricorn board said the Genel Offer has not lapsed as a result of this announcement and it will update shareholders with any further developments in relation to its offer.
Capricorn director Randy Neely provided an irrevocable undertaking to procure a vote in favour of the Genel offer and his obligations remain binding.
Accordingly, he will be required to procure a vote against the acquisition at each of the Court Meeting and the General Meeting unless the undertaking lapses.
The DNO offer is worth 384p per Capricorn share, representing a 45% premium to the closing price of 266p on 10 March, the day prior to the start of the offer period and about 10% more than the Genel offer.
DNO, founded in 1971, is Norway’s oldest oil and gas exploration and production company, with a strong Norwegian heritage and shareholder base. It is also one of Europe’s leading publicly listed independent oil and gas companies, with a diversified portfolio of upstream assets across the North Sea (Norway and the United Kingdom) and the Kurdistan Region of Iraq.
Over the three years to 31 July 2026, DNO delivered a total shareholder return of 119%, assuming reinvestment of dividends.
DNO has a long-established track record of investing and operating successfully in the MENA region and has maintained a presence in the KRI for more than two decades.
In the North Sea, DNO has built a strong and material position through successful exploration and the transformative acquisition of Norwegian independent Sval Energi Group in 2025.
The proposed acquisition represents DNO’s entry into Egypt. It intends to develop Egypt as a third core area alongside the North Sea and the KRI, and has ambitious plans to build a significant Egyptian business over time, both operated and non-operated, through investment in the acquired portfolio, exploration and development activity and further acquisitions.
DNO said it believes Capricorn’s Egyptian assets and established in-country team provide a high-quality entry point and a platform from which to expand, particularly in the Western Desert.
… more follows
#Capricorn #recommends #396m #offer #DNO #Daily #Business