Kosmos Energy has announced it is no longer interested in acquiring all the shares of Tullow Oil.

“Kosmos Energy can now confirm that it does not intend to make a firm offer for Tullow at this time,” a statement from Kosmos revealed.

According to Kosmos Ener­gy, “it is no longer bound by the restrictions under Rule 2.8 of the Takeover Code, which would have required the two parties to go through certain procedures including public disclosure, meetings, and regulatory up­dates.”

Tullow Oil in a statement on December 12, 2024, confirmed media reports that it was in a preliminary discussion with Kosmos Energy, regarding the possible all-share offer by Kos­mos Energy.

Tullow in a circular to its in­vestors announced that Kosmos Energy has up to January 9, 2025, to announce a firm takeover intention before 5 pm on that day.

“The deadline can be extend­ed with the consent of the panel on Takeovers and Mergers in accordance with the rule on takeovers”, Tullow said.

Tullow Oil in a statement issued by its board on Decem­ber 17, 2024 announced that it remains confident in Tullow's standalone business as it is well positioned to optimize its capital structure and progress to address the company’s debt maturities.

Some industry watchers have described the latest development as interesting. Analysts are unsure how the announcement will im­pact the shares of Tullow.

Tullow Oil is reported to be going through some financial challenges. It was expected that the transaction between Tullow and Kosmos Energy would have turned the fortunes of Tullow around.

The share price of Kosmos Energy has gone up by some 15 percent, following the announce­ment that it has no intention to make a firm offer to acquire Tullow Oil.

According to some industry watchers, the move by Kosmos reflects market reaction to what could have been a notable consol­idation within the industry.

The move could allow Kos­mos Energy to focus on its current operations and growth strategy.

On the other hand, the share price of Tullow Oil dropped by 8.5 percent last Friday Decem­ber 13, 2024, after it announced preliminary talks regarding an all-share takeover by Kosmos Energy.