ADNOC acquires half of Total Energy fuel stations in Egypt

ADNOC acquires half of Total Energy fuel stations in Egypt

The Emirati ADNOC Distribution has completed procedures for acquiring half of the Total Energy fuel stations in Egypt, as part of its plan to expand regionally.

ADNOC Distribution – the arm of the Abu Dhabi National Oil Company in fuel trading and distribution – announced on Wednesday, February 15, that it had concluded the acquisition deal with Totalenergies Marketing Afrique SAS to acquire a 50 percent stake in Total Energy Marketing Egypt.

The deal, which was announced in July, is an important step in ADNOC’s plans to expand and open new markets.

This is part of the Emirati company’s ambitious strategy that focuses on fast-growing markets.

The completion of the deal represents the first official presence of the largest Emirati company in the fuel distribution and retail sector in the Egyptian market.

The deal is expected to boost ADNOC Distribution’s earnings before deducting interest, tax and depreciation.

After the first year of completion of the acquisition (an increase of 6 percent on a 100 percent consolidation basis will take place).

The value of ADNOC Distribution’s deal with Total Energy is approximately US$186 million, with an additional amount of $17.3 million, upon fulfillment of certain acquisition conditions.

Total Energy Egypt is one of the top four fuel retail companies