Dubai: DP World’s acquisition of Topaz Energy and Marine leads the top GCC M&A transactions during the third quarter of 2019, according to Kuwait Financial Centre (Markaz).
The deal was completed by DP World as they acquired 100 per cent of Topaz Energy and Marine from Renaissance Services and Standard Chartered Private Equity (recently bought out by Affirma Capital) for a total value of $1.1 billion.
The remaining top transactions were split evenly between Kuwaiti and Saudi targets. Among the transactions involving Saudi targets was Saudi Aramco’s acquisition of a 50 per cent stake in Saudi Aramco Shell Refinery Company, a joint venture it created in collaboration with Royal Dutch Shell. Aramco purchased the remaining stake for $631 million and as a result, became the sole owner of the refinery company. The second transaction that closed in Saudi Arabia was undertaken by Fawaz Abdulaziz Al Hokair & Co. as it acquired 100 per cent of Innovative Union Company for $91 million.
Al Ghanim Trading’s acquisition of Kuwait Investment Authority’s 16 per cent stake in Gulf Bank for $504 million, was the largest among the top transactions involving a Kuwaiti target company. According to Markaz’ report, the number of closed M&A transactions in the GCC during the third quarter of 2019 increased by 3 per cent compared to the third quarter of 2018. Among the region, Kuwait reported the highest increase in the number of closed transactions in the third quarter of 2019 compared to the second quarter of 2019, while Saudi Arabia recorded the highest increase compared to the same period in the previous year.