Al Gihaz to acquire marine units + Saudi subsidiary owned by Egypt’s Maridive: Egyptian offshore oil and gas and chartering firm Maridive Oil Services’ board of directors has approved Saudi conglomerate Al Gihaz Holding’s bid to acquire two marine units and a Saudi subsidiary owned by its subsidiary, Valentine Maritime, for USD 115.6 mn, Maridive said in an EGX disclosure (pdf).

The breakdown: Maridive will be using USD 71.8 mn to fully settle Valentine Maritime’s outstanding debt with banks, while USD 28.5 mn will be paid to settle outstanding obligations related to the marine units. It will also be receiving USD 300k to complete the purchase of Valentine Maritime’s stake in a non-operational Saudi subsidiary, Maridive Group Managing Director Tarek Farid told Enterprise Logistics, without disclosing the name of the subsidiary or the exact stake size. VML may also get an additional USD 15 mn to settle a list of trade liabilities, Farid said. This is conditional on the approval of Al Gihaz Holdings’ settlement terms with other creditors, the statement said.

What they said: “This transaction is part of the strategic focus of the group to deleverage its balance sheet and divest its non-core offshore EPC unit,” Farid told us.

REMEMBER- Maridive in November was mulling two separate bids from Al Gihaz Holding and Abu Dhabi’s Ancla Marine Ship Management to acquire Valentine Maritime, which specializes in oil rig and chartering services and currently operates in India and the Gulf.


Correction: A previous version of the story said Maridive will be using USD 8.71 mn to fully settle Valentine Maritime's outstanding debt. We've amended the story to reflect the correct amount, which is USD 71.8 mn. 

Tags: