KCA Deutag to sign a purchase agreement with Dalma Energy LLC
Category: #world  By Saipriya Iyer  Date: 2018-03-06
  • share
  • Twitter
  • Facebook
  • LinkedIn

KCA Deutag to sign a purchase agreement with Dalma Energy LLC

KCA Deutag, a global oil & gas services firm based in Aberdeen, is planning to purchase Dalma Energy from Saudi Arabia & Oman. Experts view the move as the firm’s strategy to expand its business across the Middle East.

Depending upon the enterprise valuation of USD 660 million, the acquisition deal is projected to be worth USD 320 million that includes USD 100 million of cash and USD 220 million in shares that are to be issued to Dalma’s investors. For the record, the firm had accrued a revenue of more than USD 1.16 billion in 2017, while Dalma’s revenue was recorded at nearly USD 312 million toward the end of the same year.

According to the CEO of KCA Deutag, the acquisition of Dalma Energy is likely to enable the firm to strongly expand its customer base in the Middle East. Post the finalization of the agreement, Dalma has been speculated to own nearly 22% of the shares in KCA Deutag and will have a choice to nominate nearly 2 directors to the board. The key officials of both the firms have announced that the joint business will operate under the trade name KCA Deutag and will have a combined workforce of nearly 9,700 personnel.

As per the company sources, the acquisition of Dalma Energy business will not only establish its position in Oman as a leader in the onshore drilling activities but will also help the firm offer operational expertise across the Saudi Arabia onshore drilling sector.

For the record, Dalma Energy LLC operates in thirty-one land rigs, including the Gulf states, North Africa, and Asia. Industry analysts predict that the purchase of the assets of Dalma Energy in Oman & Saudi Arabia by KCA Deutag is likely to make the firm one of the largest owners of land-based drilling rigs across the globe.



About Author

Saipriya Iyer

Email: [email protected]   

Saipriya Iyer

Saipriya Iyer develops content for Market Size Forecasters, Algosonline, and myriad other platforms. A computer engineer by profession, she ventured into the field of writing for the love of playing with words. Having had a previous experience of 3 years under her bel...

Read More

More News By Saipriya Iyer

PharmaCyte to submit IND application to FDA for clinical trial in LAPC
PharmaCyte to submit IND application to FDA for clinical trial in LAPC
By Saipriya Iyer

PharmaCyte Biotech, a clinical-stage biotechnology company, is reportedly set to submit an IND (Investigational New Drug) application to the U.S. FDA. The IND application is related to the Phase 2b clinical trial among...

Immunic announces topline data from Phase 2 EMPhASIS, IMU-838 trial
Immunic announces topline data from Phase 2 EMPhASIS, IMU-838 trial
By Saipriya Iyer

Immunic, Inc. has recently announced positive topline results from the Phase 2 EMPhASIS trial of IMU-838, in patients with RRMS (relapsing-remitting multiple sclerosis). IMU-838 is a next-generation, orally available s...

Ciox announces acquisition of biomed-NLP technology company, Medal
Ciox announces acquisition of biomed-NLP technology company, Medal
By Saipriya Iyer

Ciox Health has recently announced the acquisition of Medal, Inc., a biomed-NLP (biomedical Natural Language Processing) technology company based in San Francisco. Medal is also a leader in integrating AI techniques fo...