2312 GMT - Woodside Energy last month shot down media speculation that it was in talks regarding a potential transaction with Exxon Mobil. Still, Macquarie says there's logic to a deal. It notes that Woodside's M&A strategy over the past five years has repositioned it to be aligned strategically with Exxon's upstream, LNG and new energies objectives. "In our view, a meaningful premium that would be much harder to deliver as a standalone entity could increase the likelihood of board engagement," Macquarie says. Still, a deal would face several hurdles, including approval from Australia's Foreign Investment Review Board. Macquarie's price target on Woodside rises 9%, to A$32.80/share, after incorporating a 20% probability of an M&A approach over the next 12 months. It also upgrades Woodside to "outperform," from "neutral." Woodside ended Thursday at A$29.49. (david.winning@wsj.com; @dwinningWSJ)

(END) Dow Jones Newswires

July 16, 2026 19:12 ET (23:12 GMT)

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