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Photo: Chevron CEO Mike Wirth.

Worldoil.com - By Joe Carroll and David Wethe on 5/9/2019

HOUSTON (Bloomberg) — Chevron is abandoning its $33 billion offer for Anadarko Petroleum, the culmination of a month-long bidding war in which Occidental Petroleum Corp. prevailed over a rival five times its size.

The most ambitious foray of Chevron CEO Mike Wirth’s tenure ended Thursday after the world’s third-largest oil explorer by market value elected not to sweeten an offer that fell out of favor with Anadarko directors. Chevron said it will collect a $1 billion termination fee and plans to increase its share buybacks by 25%.

Anadarko’s board embraced the Occidental proposal as superior on May 6, giving Chevron up to four days to come back with a revised offer. Anadarko was looking for Chevron to match or exceed Occidental’s proposal, people familiar with the matter said Wednesday. However, Chevron indicated that topping its rival’s offer was too risky. Read more…