Genel targets Egypt with Capricorn acquisition

LONDON, July 2, 2026 – The boards of Genel Energy and Capricorn Energy have agreed to terms for the acquisition of Capricorn by Genel for approximately USD 360 million in cash, the companies announced on Tuesday.

Capricorn shareholders will receive USD 4.74 per share, comprising USD 3.75 in cash and a USD 0.99 special dividend. The offer represents a premium of approximately 34% over Capricorn’s closing price at the beginning of the offer period on March 10, 2026.

Genel has production assets in the Kurdistan Region of Iraq and exploration assets in Oman and Somaliland, while Capricorn’s main operations are in Egypt’s Western Desert across onshore exploration, development and production assets.

“Genel has been seeking to acquire new production assets in preferred geographies that it has identified to build out a significant and diverse strategic footprint. After conducting a detailed review of Capricorn’s assets and operations, the Genel board and Genel management have determined that an acquisition of the Egyptian Western Desert portfolio represents an attractive strategic pillar to its business,” Genel said in a stock market disclosure.

Capricorn’s board, advised by Canaccord Genuity, unanimously recommends that shareholders vote in favour of the scheme.

The deal is conditional on obtaining consent from the Egyptian General Petroleum Corporation.

Photo by Matthew Lloyd via Capricorn Energy

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