(UPDATE 11)
Edinburgh-based oil and gas firm Capricorn Energy — formerly Bill Gammell’s Cairn Energy — said on Thursday that two takeover offers for the Scottish firm from Norway’s DNO and London-based Genel Energy “remain ongoing and further announcements will be made by the company if and when appropriate.”
On September 17, Capricorn said it had agreed to revised terms of a $396 million takeover offer from Norway’s DNO pitched at $5.214 per Capricorn share in cash.
But in its first-half results on Thursday, Capricorn said: “On 11 March 2026, the company entered into an offer period for the purposes of the UK Takeover Code, which has resulted, after the period end, in firm offers being announced by Genel Energy plc and DNO ASA respectively.
“Both offers remain ongoing and further announcements will be made by the company if and when appropriate.”
Then, early on Friday, Capricorn Energy said it agreed an updated and increased $436 million takeover offer from Genel Energy pitched at $5.74 per Capricorn share, involving $4.75 in cash and a special dividend of $0.99.
Capricorn Energy’s biggest shareholders include hedge funds Palliser Capital (13.67%), Newtyn Partners (12.26%), Kite Lake Capital Management (7.89%) and Madison Avenue Partners (5.27%), according to the Capricorn website.
Capricorn said in its results on Thursday the “principal risks and uncertainties at the end of H1 2026” to the company included “transaction to sell business falls over.”
Capricorn said in its results on Thursday that highlights of its first half trading included: “Revenue in Egypt of $100m with a realised oil price of $89.5/bbl and gas price of $3.4/mscf …
“Merged concession agreement became effective following formal parliamentary ratification on 30 March and ministerial signature on 19 May, with a 1 July 2025 operational start date …
“Cash collections of $98m in Egypt … Egypt receivables of $92m at 30 June 2026 …
“Balance sheet: Group cash of $114m at 30 June 2026, after early repayment of the remaining debt in April …
“Development and production capex of $52m; exploration capex of $1m … 18 development wells and two near-field exploration wells were drilled during the period, establishing new areas of thick Abu Roash Gharadig (ARG) reservoir, unlocking significant follow-on drilling opportunities and delivering production above expectations …”
In its second half outlook Capricorn said: “Production performance through July and August has remained strong with excellent contributions from new wells. Continued development activity through the remainder of the year will be focused in the liquids rich Abu Roash G reservoir.
“Consequently, FY26 production is expected to be above the mid-point of the guidance range of 18,000-22,000 boepd …
“Full-year forecast net capital expenditure towards the upper end of the range of $85-95m, reflecting an increase in drilling efficiency and the number of wells brought on production in the year to date …
“Operating costs remain within guidance forecast of $5-7 per boe …
“Drilling activity in the second half of 2026 will continue to target two key development focus areas, guided by the successful results from earlier in the year. Activity will also resume in the Obaiyed field area, for the first time since 2023, with two new wells planned and a re-entry opportunity.”
Capricorn CEO Randy Neely said: “Capricorn had a robust first half as production remained resilient, development activity progressed in line with budget and pricing supported healthy margins during the period.
“The ratification of the consolidated concession agreement in Egypt creates an improved framework for long-term investment, extends the life of key producing assets and supports our resource conversion funnel.
“Working closely with our partner and operator, Cheiron, we have progressed development plans designed to grow production and unlock value.
“Regular collections have allowed continued disciplined reinvestment in the asset base, delivering strong drilling results and boosting monthly production.
“Operational execution remains strong, with our teams and partner continuing to deliver safely and efficiently. We have also made progress in evaluating exploration and appraisal opportunities that have the potential to add reserves over time.
“Shareholders will also be aware that, after the period end, Genel Energy plc and DNO ASA announced firm offers to acquire the company, both of which remain ongoing.”