April 18, 2019 [Oil Review] – Twelve Seas Investment Company has announced that it will acquire a 100 per cent share of the UAE-based Brooge Petroleum and Gas Investment Company (BPGIC).
Twelve Seas, a company formed for the purpose of entering into a business combination, will acquire the storage company for one billion.
BPGIC was founded in 2013 to capitalise on the anticipated need for oil storage capacity at the Port of Fujairah.
BPGIC is developing terminals in phases and aims to have a total capacity of one million cubic metres following the scheduled completion of the second phase of construction by late Q2 or early Q3 in 2020.
Following the closing of the transaction, BPGIC will continue to be headed by its current management team with Nicolaas Paardenkooper as CEO, Lina Saheb as chief strategy officer, and Faisal El Selim as chief marketing officer. The company remains headquartered in Fujairah.
Bryant Edwards, chief operating officer and director of Twelve Seas, said, “This transaction represents an exciting opportunity for foreign public investors, and specifically those that invest in Nasdaq company stocks, to invest directly into the dynamic and growing oil and gas infrastructure sector within the UAE,” he added.
“The announcement comes less than two months after the investment by the global investment firms of KKR and Blackrock, who purchased cash flow streams derived from national pipelines in the UAE. Through BPGIC’s NASDAQ listing, investors can have a direct ownership interest in an exciting company with exposure to the same growing oil and gas infrastructure in the UAE,” he added.
Nicolaas Paardenkooper, CEO of BPGIC, commented, “We are excited to enter into this agreement with Twelve Seas as it provides us with the ability to enter the US capital markets and provide this unique opportunity to investors globally.”
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