TUBACEX and SENAAT form an alliance to grow in the Middle East

A key market will be promoted with investment projects

TUBACEX and SENAAT, an industrial investment holding company owned by the Emirate of Abu Dhabi, have signed an agreement to acquire the NOBU Group, a company specialized in the repair and manufacturing of high-precision stainless steel components for the oil and gas industries. .

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TUBACEX y SENAAT, an industrial investment group owned by Emirate of Abu Dhabi, have formed a strategic alliance to support the development of energy projects in the Middle East. This alliance aims to boost a key market with investment projects focused on the development of local manufacturing capabilities, with the ambition of becoming one of the largest manufacturers of premium tubular solutions in the region.

 

Within the framework of this strategic alliance, TUBACEX and SENAAT have signed an agreement for the acquisition of NOBU Group, a company specialized in the repair, maintenance and manufacturing of machined stainless steel components for clients such as Baker Hughes, Schlumberger, Emerson and Halliburton, among others. TUBACEX It thus accesses the main oilfield services companies, offering the widest portfolio of tubular solutions and repair and installation services.

 

With the acquisition of NOBU, TUBACEX advances in its strategy of becoming a global provider of tubular solutions, significantly strengthening its product portfolio for the energy exploitation and production sector (upstream). This activity is currently channeled through Tubacex Upstream Technologies (TXUT), a business unit created in 2016 with the aim of providing added value to the OCTG and that last year it had a turnover of more than 200 million euros. Likewise, the acquisition of NOBU allows to reinforce the strategy of TUBACEX to grow in strategic regions, diversify its portfolio of products and services and get closer to the end customer. Likewise, it reinforces its commitment to one of the regions with the greatest oil and gas resources, and which is currently immersed in a growth plan.

 

This acquisition is the first step of this joint commitment between TUBACEX and SENAAT, one of the largest investment and industrial holding companies in the United Arab Emirates, in the development of energy projects in the region, contributing to its economic development with local investments.

 

 

This alliance reinforces TUBACEX's ambition to become one of the largest manufacturers of premium quality tubular solutions in the Middle East

 

 

 “Our leadership position in the manufacture of tubes OCTG of corrosion resistant alloys (CRA) added to our good positioning in Middle East have fostered a strategic alliance with SENAAT for the joint development of the local business, consolidating our growth bases for the coming years,” said Jesús Esmorís, CEO of TUBACEX. In this sense, this alliance is currently analyzing the possibility of building production facilities for the manufacturing of OCTG in Abu Dhabi, a product intended for the production and extraction of oil and gas, with great demand in the Middle East, and especially in Abu Dhabi.

 

NOBU acquisition

 

The acquisition of NOBU for an amount of 57,3 million dollars (a figure subject to potential adjustments in the final price) represents a first step in industrial establishment in key regions. It allows us to expand the group's productive capacity, its international presence with growth in key regions, and expand its offer of comprehensive tubular solutions.

 

Based in Dubai (UAE), The NOBU Group It is currently owned by Norwegian private equity firm Nord Kapitalforvaltning and Norwegian investment company Habu Holding. It is one of the few companies in the region capable of providing repair and manufacturing services for high-precision tubular components. It is present in Saudi Arabia, Dubai and Norway with a staff of more than 200 people and sales of $34 million expected for 2019, entirely in the premium segment.

 

«NOBU “It boosts our position as a leading manufacturer of comprehensive stainless steel solutions for the oil and gas extraction sector, allowing us, for the first time, to offer repair and maintenance services for oilfield service companies,” he stated. Jesus Esmoris. “With this acquisition we strengthen our strategic position with end customers, promoting industrial synergies with other plants in the group. In this way, we value our integrated manufacturing model, with our own steel mill as a source of manufacturing and supply of raw materials, and different manufacturing and service provision companies that allow us to offer a complete tubular solution,” said Esmorís.