Shell M&A Chief quit after CEO blocked BP bid
Shell’s head of mergers and acquisitions, Greg Gut, has left the company after senior executives blocked an internal proposal to acquire rival BP.
According to the report, Gut and Shell’s M&A team pushed for a potential deal with BP earlier this year. Shell’s chair, Andrew Mackenzie, was said to be interested in exploring the idea. However, CEO Wael Sawan and Chief Financial Officer Sinead Gorman opposed the move, arguing that a takeover of such scale could disrupt Shell’s strategic priorities, News.Az reports, citing Reuters.
Shell publicly denied in June that it had made a bid for BP, saying it was constrained by UK takeover rules, which barred it from pursuing BP for six months following that statement. That restriction is due to expire on December 26.
The FT reported that Gut had already departed Shell by the time of the June denial, adding that Sawan’s firm opposition indicates Shell is unlikely to pursue a BP deal even after the restriction period ends.
Sawan has repeatedly said that share buybacks represent a better use of capital than a major acquisition, particularly given BP’s weak share performance compared with peers since 2020, when BP’s aggressive pivot toward renewable energy left it lagging behind other oil majors.
Shell did not immediately respond to Reuters’ request for comment outside normal business hours. Gut was also contacted for comment, though his LinkedIn profile still lists him as employed by Shell.
In a statement to the Financial Times, Shell said it had “previously made a clear statement” regarding its lack of interest in BP and had “nothing to add.”
The episode highlights ongoing debate within major energy companies over growth through acquisitions versus capital returns, as oil majors balance shareholder expectations with long-term energy transition strategies.
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