Beirut-based private equity fund EuroMena II announced that it has invested US$ 20 million in Egypt-based Sakson Petroleum Services Holding S.A.L., a Lebanese-registered provider of oil and natural gas drilling services based in Egypt. Capital Trust Group, the owners of EuroMena II, said that the investment is aimed at increasing the capital of Sakson Petroleum. Officials from EuroMena II indicated that EuroMena’s partnership will enable the company's ongoing growth and expansion plans. This investment would mark the fourth deal executed by EuroMena II, with one to two future investments to be made in order for the fund to be fully invested, as per the same source.
Investment aimed at increasing the capital of Sakson Petroleum
Officials from Sakson Petroleum said the partnership with EuroMena II was based on the company’s reputation in the market, which has been proven throughout the due diligence and negotiation period. The same sources added that the group is now active in a number of African countries, including Tanzania, Kenya, Somalia, Algeria and Iraq which are among the fastest growing oil and exploration territories in the world.
Also, the company plans to enter new markets, including Libya and Gulf countries, which would help diversify the company's activity in the MENA region. Sakson Petroleum will use EuroMena II’s investment to finance a pipeline that will be built over the next two years, and which is expected to cost more than US$ 100 million.
In parallel, Euromena officials stated that preparations are ongoing to launch EuroMena III, the fourth private equity fund by the Capital Trust Group in the region. The EuroMena III fund is expected to reach a size of between US$ 200 million and US$ 300 million and will continue its strategy of investing in high-growth sectors in the Middle Eastern and North Africa.
$13.5 million invested in Khoury Home
Last year, EuroMena II invested US$ 13.5 million in Khoury Home, a Lebanese consumer appliances retailer. Earlier in 2012, it bought a 51% share in Egyptian eye-surgery hospital group Al-Oyoun Al-Dawali Hospital.
Established in 1998, Capital Trust Group provides private equity investments, direct investments in various sectors, investment banking services including corporate finance and investment advisory on mergers and acquisitions, in addition to initial public offering and underwriting.
Lebanon Weekly Monitor – Bank Audi