Houston-based LNG export player, Cheniere Energy said it has terminated the previously announced deal to buy Cheniere Energy Partners.
Cheniere, which already holds an 80.1% stake in Cheniere Energy Partners, offered 0.5049 Cheniere shares for each share of Cheniere Energy Partners, representing a value of $21.90 per share of Cheniere Energy Partners, or a 3% premium as of September 29, 2016.
The proposed transaction was a subject to negotiation and execution of a definitive agreement and approval by the boards of Cheniere Energy, Cheniere Partners and the conflicts committee established by Cheniere Partners.
After more than 6 weeks of negotiations, and despite raising the offer to 0.54 shares for each share of Cheniere Energy Partners, Cheniere “has determined that no acceptable definitive agreement can be reached with the conflicts committee at this time,” it said in a statement.
Cheniere added that in the future it may purchase additional shares of Cheniere Partners in the open market or in privately negotiated transactions.