Abraaj Capital and Kuwait Energy sign strategic investment agreementApr 10, 2012 - 02:40 -
WAM Dubai, April 10th, 2012 (WAM) -- Abraaj Capital and Kuwait Energy today announced an agreement in which former's APEF IV Fund would support a strategic investment in Kuwait Energy.
The investment will enable Kuwait Energy's ongoing growth and development plans and facilitate its emergence as a regional independent exploration and production (E'&'P) pioneer with world-class expertise.
Established in 2005, Kuwait Energy currently has a diverse portfolio of oil and gas assets across production, development and exploration phases, with MENA operations in Egypt, Iraq, Yemen and Oman. In addition to covering the MENA region, the Company is focused on exploration, production and development of oil and gas reserves in Ukraine, Latvia and Russia. The Company has a proven track record in growing annual production and reserves while being profitable every year since inception.
Dr. Mansour Aboukhamseem, Executive Chairman, Kuwait Energy, commented: "At Kuwait Energy, we play an important role in supporting national economies and meeting global energy demand. Through this new partnership with Abraaj Capital, we will be strongly positioned to realize our growth plans, which we are confident, will help us emerge as the leading independent E'&'P Company in the region." Mustafa Abdel-Wadood, Chief Executive Officer, Abraaj Capital Limited, said: "We are very pleased to announce the investment in Kuwait Energy, a regional leader in exploration and production. This investment is the latest to be made through the Abraaj Private Equity Fund IV (APEF IV), which announced its inaugural transaction in December 2010, and has subsequently announced a number of additional transactions across diverse geographies and sectors which speaks to the strength of the pipeline and our ability to execute on our access to businesses benefiting from the region's increasingly positive economic environment. Given the continuing strong regional fundamentals, we see a very robust deal pipeline, across a range of high growth sectors moving ahead in 2012 and beyond." Commenting on the transaction, Ahmed Badreldin, Senior Partner and Co-Head of Large Cap Private Equity, Abraaj Capital, said: "The growing E'&'P sector presents unique opportunities in the MENA region and the potential of independent sector champions such as Kuwait Energy has not been fully exploited. Through this investment, Abraaj Capital will support Kuwait Energy's growth and expansion, working alongside the Company's strong management team, which has an established track record of success across the markets in which it operates." Sara Akbar, Chief Executive Officer, Kuwait Energy, concluded: "This strategic investment comes at an opportune moment in the ongoing growth story of Kuwait Energy. Today, we are in the process of increasing production across the region as we continue to identify additional reserves and use new technologies to further exploit existing assets. We believe that Abraaj Capital will make a significant contribution to the success of Kuwait Energy at a time of exciting growth and expansion.