DNO ASA and Genel Energy plc takeover rejected
Hussain Jeddy · 9 August 2026
Share on LinkedInNorwegian E&P company DNO ASA approached Genel Energy's board on 28 July 2026 with an indicative proposal of 69p per share in cash, (or a cash and DNO shares alternative), valuing Genel at ~£202m. Genel's board unanimously rejected the approach around the 7th of August 2026 as undervaluing the company. The Takeover Panel opened a formal offer period at 07:00 on 7 August 2026, with a Rule 2.6 'put up or shut up' deadline of 17:00 on 4 September for DNO to either announce a firm offer or walk away. A 'put up or shut up' deadline is the final date by which a potential bidder must make a real offer or walk away and stop talking about a takeover.
Genel Energy plc is a London listed independent oil producer focused on the Kurdistan Region of Iraq. It is also, separately, pursuing its own agreed acquisition of Capricorn Energy. DNO ASA is an Oslo listed independent E&P company, also Kurdistan focused, and a direct sector peer.
The takeover was unsolicited, and a hostile approach, governed by the UK Takeover Code. The premium was reported at around 38% to Genel's last close, and around 30% to its three-month average. No firm offer has yet been made. This is a live 'put up or shut up' situation and not an agreed deal.
The financing details have not been disclosed. Since DNO has not made a firm offer, no financing structure or lender has been confirmed in any source reviewed. Linklaters LLP is the ordinary legal adviser to Genel Energy plc. Counsel information for DNO not yet available.
The early mechanics of the deal highlight a clean, current example of the Rule 2.6 'put up or shut up' mechanism, and how a target board rejects or defends against an unsolicited approach. This case serves as a useful contrast to the Apollo Global Management and easyJet plc recommended and agreed structure. The case also illustrates real consolidation pressure among Kurdistan-focused independent oil producers, complicated further by Genel's simultaneous acquisition of Capricorn Energy.
Update — 6 September 2026
What changed: DNO ASA has confirmed it will not make a formal offer for Genel Energy, effectively withdrawing the approach that was rejected in early August. Under the UK Takeover Code, this is a formal "no intention to make an offer" statement. DNO said Genel's board showed no willingness to engage even after DNO asked for more time beyond the 4 September deadline. Genel's shares fell more than 10% on the news. Separately, DNO has agreed a $396 million takeover of a different company, Capricorn Energy, which had itself been the target of a rival, lower bid from Genel.
Why it matters: This closes the loop on a deal the site flagged as "rejected" back in August. it's now formally dead, which makes it a clean example of a hostile approach failing outright.