Shell chief executive Wael Sawan declined an internal proposal to buy rival BP this year, arguing that the challenge of combining two of Britain’s biggest companies would derail their strategy.
Shell’s M&A team, led by Greg Gut, had argued in the early part of 2025 that BP’s plunging share price and management turmoil presented an opportunity for Shell to solve its growth challenges and pushed for a deal.
After the possible deal was pitched, Sawan in May decided he would rather focus on improving shareholder returns than a bid for a rival then valued at about £56bn. The interest in BP came after growing internal questions about Shell’s long-term growth strategy. Sawan, who became chief executive in 2023, has focused on shoring up Shell’s balance sheet, cutting costs and ensuring that it can consistently return 40-50 per cent of its operating cash flow to shareholders.
M&A Chief Vacates Position
Following the blocking of the acquisition proposal, Shell’s M&A chief Greg Gut left the company. Gut’s position as executive vice-president for corporate strategy, M&A and new business development has been split between Mohammed Hamid, who added global strategy to his role as head of investor relations, and Walid Hadi, the former Shell country chair in Oman who became head of acquisitions, divestments and new business development in July.
