ADNOC Seals $4 Billion Pipeline Deal with BlackRock, KKR
Agreement Marks Divestment of 40% Stake in Oil Network
Abu Dhabi, July 13, 2023 (12:35 AM PDT)
Abu Dhabi National Oil Company (ADNOC) has finalized a $4 billion deal to sell a 40% stake in its oil pipeline network to a consortium led by investment firms BlackRock and KKR. The sale marks a significant divestment by ADNOC as it pursues its strategic objectives.
Under the terms of the agreement, the consortium, which includes funds managed by BlackRock and KKR, will collectively hold a 40% interest in the entity that will own and operate ADNOC's pipeline network. The remaining 60% stake will remain with ADNOC.
The transaction is expected to raise approximately $4 billion for ADNOC, providing the company with additional financial flexibility and resources to support its growth plans. The sale is also part of ADNOC's broader strategy to enhance its partnerships with global investors and optimize the value of its assets.
The consortium led by BlackRock and KKR brings extensive experience in infrastructure investment and management to the partnership. ADNOC is confident that this collaboration will contribute to the efficient and successful operation of its pipeline network, which plays a crucial role in transporting crude oil and gas from its production fields to domestic and international markets.
The completion of the transaction is subject to customary closing conditions and regulatory approvals. The deal is expected to close in the coming months.
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