Bid & Tender


Adnoc Seals $600mn Pipeline Infrastructure Deal with Singapore Fund

Abu Dhabi National Oil Company (Adnoc) has announced that it has formally closed its $600-million pipeline infrastructure investment agreement with Singapore’s sovereign wealth fund GIC.


This marks the successful closing of the total investment transaction, following the formal inking of the initial investment agreement with BlackRock and KKR in June, and the subsequent closing of the Abu Dhabi Retirement Pensions and Benefits Fund (ADRPBF) investment on 1 August.


The closing takes the combined investment in select Adnoc oil pipeline infrastructure by BlackRock, KKR, ADRPBF and GIC to $4.9 billion, said the statement from Adnoc.


The innovative leasing investment structure marks the first time that leading, global and domestic institutional investors have deployed long-term capital into key Adnoc infrastructure assets.


BlackRock and KKR together hold 40 per cent, ADRPBF three per cent, GIC six per cent, and Adnoc the remaining 51 per cent in the newly formed entity, Adnoc Oil Pipelines.


Sovereignty over the pipelines and management of pipeline operations remain with Adnoc, it stated.


Ahmed Jasim Al Zaabi, the group director for finance and investment at Adnoc, pointed out that the successful final closing of this landmark transaction was a clear vote of confidence by the global investment community in both the UAE and Adnoc as attractive investment destinations.


"The caliber of these leading global and domestic investors underlines the quality and attractiveness of Adnoc’s infrastructure assets and our ability to efficiently structure and close value-creating investment opportunities for our partners and investors," he noted.


Over the last two years, Adnoc has significantly expanded its strategic partnership and co-investment model and created new investment opportunities across all areas of its value chain, while at the same time, more proactively managing its portfolio of assets and capital, he added.


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