ENN Natural Gas Co. pulled its own restructuring plan after a nearly $12 billion buy‑out bid for ENN Energy Holdings fizzled. The Shanghai‑listed firm, which holds roughly 34 % of ENN Energy through Xinneng (Hong Kong) Energy Investment, said regulators in China and Hong Kong may block the deal. The move ends a year‑long pursuit of the largest deal seen in China’s recent history.

In March last year, ENN Natural Gas offered HK$90.5 billion (about $11.5 billion) in cash and shares, valuing ENN Energy at that level and pledging to delist it afterward. The proposal faced a June 12 deadline, but uncertainty over approvals stalled progress. ENN Energy’s Hong Kong shares slipped 30 %, cutting its market cap to about $7 billion, while ENN Natural Gas sits at $8.4 billion after a 12 % fall.

Despite the setback, the Shanghai‑listed company reiterated its intent to raise its stake in ENN Energy, though it did not disclose a target. First‑quarter earnings fell 33 % to 655 million yuan ($97 million), reflecting tighter margins. The abandonment of the deal removes a potential $12 billion windfall for investors and signals a cautious stance toward cross‑border mergers amid regulatory scrutiny.