Mubadala Investment Company will pay almost 138 million euros for half of the subsidiary that the Alava company founded in that Arab country. The company says the operation will not affect its operations in Euskadi, claiming it “could entail new investments” in its factories in Álava.
An investment fund Abu Dhabi, United Arab Emirates)Mubadala Investment Company, has signed an agreement with Tubacex to buy 49% of its pipe solutions business for oil and gas exploration and production (OCTG) in that country for US$150 million (nearly 138 million euros), as reported on Monday by the Alava company to the National Securities Market Commission (CNMV).
The pipe manufacturer assures that the operation will consolidate its “strategic presence” in the United Arab Emirates, where, following its “mega-commercial contract” with the emirate’s main energy operator, build a factory for finishing and threading pipes for gas extraction. To be precise, Mubadala will provide the corresponding investment for the said factory, estimated at around 90 million euros.
According to Tubacex, the operation will “strengthen” the company’s activity. floors of the group, including the one in Euskadi – it has factories in Amurrio, Llodio and Artziniega –, and ‘it could mean new investments in these facilities,” he said in the statement.
Company sources have indicated that this operation has taken place It will not affect the decision centers nor to its activities in Euskadi. As they have specified, this is a part of the company that deals with the pipes used for gas extraction and in Euskadi the ‘mother pipe’ is made, while the finishing and threading part would correspond to the Alavesa company that has specified the completion of this transaction is subject to the receipt of customary approvals for these types of operations, including those from competition authorities.
After taking note of the operation, Tubacex shares have soared this Monday more than 5% on the stock market, until its shares were redeemed at a unit price of 3,355 euros, which has allowed it to take the lead in the increases in the continuous market.
Source: EITB
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