Announced in July 2022, the acquisition marks the UAE company’s entry into the Egyptian market
UAE fuel and retail distributor, ADNOC Distribution, completed its acquisition of TotalEnergies Marketing Egypt yesterday, purchasing a 50% stake from TotalEnergies Marketing Afrique.
Announced in July 2022, the acquisition marks the UAE company’s entry into the Egyptian market.
“Closing this transaction marks a significant milestone in ADNOC Distribution’s international growth journey, demonstrating our ability to expand in attractive international markets, and reaffirming our commitment to our Smart Growth Strategy. Egypt is the Arab world’s most populous country with great economic potential, and we look forward to bringing our offering to this dynamic market,” said Bader Saeed Al Lamki, CEO of ADNOC Distribution.
With the deal’s completion, ADNOC will receive a diversified downstream portfolio of around 240 fuel retail stations, more than 100 convenience stores, 200+ lubricant and oil changing stations and car washes, as well as wholesale fuel, aviation fuel, and lubricant operations.
The news comes only a week after B Investments Holding sold its 6.38% in TotalEnergies Marketing Egypt to TotalEnergies Marketing Afrique for $27.6 million.
ADNOC will be introducing its signature Oasis convenience store to Egypt, as well as integrating digital services into its new stations.
“We are excited about our move into a fast-growing market like Egypt which has significant potential in fuel retail and mobility solutions. To have TotalEnergies as our partner in Egypt offers great strength and stability, and we look forward to working closely with them to foster potential growth opportunities across the region,” Al Lamki explained.
The transaction is expected to boost ADNOC Distribution's EBITDA earnings after the first year of completion of the acquisition by 6% on a 100% consolidation basis.
