DP World in talks to acquire Topaz Energy and Marine
The $1.3 billion (Dh4.7bn) takeover could be announced as soon as Monday
DP World, the ports operator with terminals from Peru to Australia, is in talks to acquire oil services company Topaz Energy and Marine, marking its first potential foray into the oil and gas industry.
DP World confirmed it is in discussions to purchase Dubai-headquartered Topaz Energy on Sunday.
"While negotiations are ongoing, there can be no certainty of a transaction," DP World said in a statement to Nasdaq Dubai, where its shares trade, on Sunday. A DP World spokesman declined to confirm the timing or value of a possible deal.
Sky News reported the $1.3 billion (Dh4.7bn) takeover could be announced as soon as Monday. DP World has been on an investment spree as its growth strategy has evolved to include the wider logistics supply chain.
Topaz Energy, a subsidiary of Muscat-listed Renaissance Services, operates a fleet of 120 vessels with a focus on the Caspian Sea, the Middle East and West Africa. Standard Chartered Private Equity holds a minority share in the company, according to Topaz Energy's website.
Topaz is being advised by Rothschild on the deal while DP World is being advised by Deutsche Bank, according to Sky News.
In 2018, Renaissance Services was considered an initial public offering in London for its Topaz Energy unit.
DP World posted a 10.2 per cent increase in full-year 2018 profit driven by acquisitions and growing global trade despite trade tensions and geopolitical headwinds.
Updated: July 1, 2019 10:57 AM