Shell Denies BP Takeover Talks Amid Market Speculation

Shell has firmly denied reports from the Wall Street Journal suggesting it is in talks to acquire its British rival BP, calling such rumors mere market speculation. Despite BP's recent financial struggles and a decline in market capitalization, Shell emphasized its focus on performance, discipline, and simplification rather than pursuing a takeover. BP's challenges stem from its costly shift towards renewable energy and lukewarm investor response to its recent strategy reset. The speculation caused BP shares to surge initially, but gains were mostly erased as the market digested Shell's denial. Shell's CEO has expressed a preference for buying back Shell shares over launching a takeover bid, signaling a strategic focus on internal value rather than expansion through acquisition. The broader UK economic context remains uncertain, with trade tensions and inflation affecting markets such as the FTSE 100, though confidence in London as an investment hub persists, as seen in Visma's planned IPO.