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Adnoc L&S snaps up Navig8: Adnoc L&S is acquiring multinational shipping pool operator Navig8 in a USD 1.04 bn transaction, with transfer ownership retroactively effective from 1 January 2024, according to a press release. The company will snap up an 80% stake for USD 1.04 bn now, before buying the remaining 20% stake in Navig8 in 2027 for an additional consideration ranging from USD 335 mn to USD 450 mn. The agreement is pending regulatory approval, the statement said.
The acquisition will see Navig8 retain its management, operations, and branding, the statement also said.
A boon for Adnoc L&S: The first full financial year following the acquisition is expected to see a minimum 20% boost to Adnoc L&S’ earnings per share, the statement said. The acquisition is also expected to save Adnoc L&S some USD 100 mn per year in technical management costs and costs associated with bunkering operations, the statement explained. The acquisition will also boost Adnoc L&S’ services portfolio to include bunker trading, pooling and other services, and expand its footprint to Navig8’s 15 global locations.
All part of the big post-IPO plan: The latest acquisition comes as part of an expansion strategy unveiled ahead of Adnoc L&S’ landmark USD 769 mn IPO last year, which will see it shell out USD 5 bn in investments in the medium term, the statement said.
About Navig8: Established in 2007, Navig8 is a fully integrated shipping management service provider. Apart from a company-owned 32 vessel tanker fleet, the outfit also operates and charters other vessels.
