A consortium led by Abu Dhabi National Oil Company (ADNOC) has withdrawn its $18.7 billion offer to acquire Australian gas producer Santos Ltd (STO.AX), marking the third failed bid for Santos in seven years. The decision, announced on September 18, 2025, follows months of negotiations that ultimately collapsed due to disagreements over valuation, risk-sharing, and regulatory approvals. The consortium, which included ADNOC’s overseas unit XRG, cited a combination of factors that impacted its assessment of the deal. Santos, in response, stated that the consortium refused to agree to a fair distribution of risks, including securing regulatory approvals and committing to domestic gas development. The proposed offer of $5.76 per share, equivalent to A$8.89 at the time, was significantly higher than Santos’ last traded price of A$6.74. This withdrawal highlights the challenges of completing large-scale transactions in Australia, where valuation disputes, shareholder approval thresholds, and regulatory risks have repeatedly derailed major deals. Other notable failed mergers and acquisitions in Australia include BHP Group’s $49 billion bid for Anglo American, Woodside Energy’s talks with Santos, and Brookfield’s $10.6 billion bid for Origin Energy, all of which collapsed due to similar issues.