Adnoc Distribution says the proposed acquisition in South Africa is a 'significant milestone' in its international growth strategy. Photo: Adnoc DistributionInfoWith enterprise value of $1bn, deal is expected to be closed next year
Adnoc Distribution has signed a definitive agreement to acquire 100 per cent of Shell Downstream South Africa for an implied enterprise value of approximately $1 billion.
The acquisition marks the UAE fuel retailer's entry into South Africa, the largest economy on the African continent.
A 28 per cent stake in Shell Downstream South Africa will be sold to a local empowerment partner and employee stock option plan after the deal closes.
Adnoc Distribution will retain the Shell brand for retail service stations and lubricants businesses in South Africa under a long-term licensing agreement.
