Abu Dhabi National Energy Company (Taqa) has issued an unexpected apology for its involvement in the bid to acquire shares in the Spanish gas and electricity giant, Naturgy.

Taqa’s sudden withdrawal has sent shock waves through the industry, as the Emirati company was widely regarded as a front runner in the bid for Naturgy shares.

While Taqa has refrained from releasing an official statement elucidating the reasons behind its retreat from the takeover bid, some analysts speculate that concerns over Naturgy’s valuation or challenges in securing the requisite regulatory approvals might have prompted Taqa’s decision.

Although Naturgy has yet to comment officially on Taqa’s withdrawal, it is anticipated that discussions regarding the acquisition will persist among the remaining shareholders.

Sources disclosed to Bloomberg last month that Taqa had engaged in negotiations with acquisition firms Global Infrastructure Partners and CVC Capital Partners to acquire their shares in Naturgy, as per a regulatory filing issued on Wednesday.

The objective of the deal is to resolve longstanding disputes among Naturgy’s four largest shareholders, who collectively hold approximately 83% of the company’s shares.

Global Infrastructure Partners and CVC Capital Partners each possess a 21% stake in Naturgy, while infrastructure investment company IFM holds 15%. The company’s largest shareholder is Criterion Kaisha, with a 27% stake.