ADNOC Drilling Co. and Alpha Dhabi Holding have announced that their joint venture, Enersol RSC LTD, will acquire an additional 42.2% equity stake in Gordon Technologies LLC for $270 million, thereby becoming the majority shareholder with a total of 67.2%. This acquisition builds on the previous 25% stake purchase by Alpha Dhabi for $164 million, completed in November 2022. Approximately 80% of the acquisition cost will be paid at closing, with the remainder expected over the next two years based on performance conditions. Enersol, which was formed earlier this year with Alpha Dhabi transferring its 25% stake to the JV, aims to enhance its market value and operational efficiencies through this strategic acquisition. Gordon Technologies, which was previously majority-owned by Pelican Energy Partners, is noted for being debt-free and offering significant profitability, cash flow generation, and dividend potential, along with a free cash flow yield exceeding 10% for FY2023.
Oil & Gas, Private Equity, Investment Holding,United Arab Emirates, United States
https://www.zawya.com/en/markets/equities/adnoc-drilling-alpha-dhabi-jv-to-acquire-additional-stake-in-gordon-technologies-for-270mln-bfu3xc72