ENN Natural Gas' $11.6 Billion ENN Energy purchase collapses due to regulatory hurdles

ENN Natural Gas failed to secure the necessary regulatory approvals by the deadline of June 12, the companies announced on Friday.

The deal, first announced in March of last year at HK$90.50bn ($11.55bn), values ENN Energy as HK$90.50bn ($11.55bn).

ENN?Natural gas already owns more than 34% of ENN Energy. According to LSEG data, this makes it the largest shareholder.

Last year, a group owned by Chinese billionaire Wang Yusuo offered HK$59.48billion for the remaining stake of the clean energy distributing company, aiming to'streamline its operations in its natural-gas business.

The offer expired on Friday, after it failed to meet pre-conditions such as approval in principle by the Hong Kong Stock Exchange, and clearances from Chinese regulatory authorities, almost a year after the application began.

Companies had already extended the date for the long-stop earlier this year, but the timeline to secure approvals was still uncertain despite "substantial effort".

ENN Energy, which filed a listing in December, will no longer proceed.

ENN Natural Gas, listed since 1994, is a company that operates in the areas of gas sales, infrastructure, engineering, construction and installation.

(source: Reuters)