Gabon Oil Company Goes Big: Preempts $1.3B Assala Sale

Gabonese national oil company, Gabon Oil Company, stated its plan to buy The Carlyle Group Inc’s CG Assala Energy.

The move follows the usage of the company’s right to preempt the sale of the business for $1.3 billion to the French energy company Maurel & Prom, according to Reuters. 

In August, Maurel & Prom planned to buy Assala Energy for $730 million, which included rolling over a $600 million credit facility.

However, the Gabonese national oil firm exercised its preemptive right on the acquisition in November due to a military coup in the west African country in late August, as per the report.

Maurel & Prom stated that the signing occurred in the context of Gabon Oil Company’s sovereign right of pre-emption and supersedes the SPA signed by Maurel & Prom and Carlyle on August 15, 2023. 

As per the report, Carlyle said the terms of the new deal were “materially the same.”

Price Action: CG shares are trading lower by 0.08% at $44.83 on the last check Friday.