Topaz Energy and Marine has secured a USD75 million equity investment from Standard Chartered Private Equity (SCPE).
Under the terms of the investment, SCPE will inject USD75 million of equity in return for a 9.8 per cent stake in the business.
The funds will be deployed in support of Topaz’s long-term fleet expansion ambition in its core operational regions and entry to key growth opportunities.
“Joining forces with a private equity powerhouse like SCPE will enable Topaz to truly accelerate the realisation of our strategic plan,” says René Kofod-Olsen, CEO of Topaz. “We have now enhanced the foundation from which we can deliver our ambition for further geographical diversification and growth through both organic expansion and acquisitions. SCPE is investing because of its firm belief in the Topaz story, the team and our strategy, and we look forward to working together in close partnership.”
Taimoor Labib, regional head of MENA private equity and head of global private equity portfolio management at SCPE, says: "We are proud and humbled to have been chosen as strategic partners by one of the leading companies in the UAE and the Middle East, with a global reputation within the oil and gas space. Topaz’s high quality management team, committed shareholder base and independent governance are admired by many in the region. We look forward to working with our partners in Topaz and helping the company achieve its long-term strategic objectives.”
Labib will be joining the Topaz board on behalf of SCPE.
Topaz currently operates 99 vessels around the world. The fleet has an average age of seven years against an industry average of around 15 years.
Closing of the transaction is subject to bank consents and customary conditions. The transaction is expected to close during Q4 2014.
