Dubai's DP World acquires OSV firm Topaz for $1bn from Renaissance
Oman's Renaissance targets growth in services and FM businesses which are "less capital-intensive" following sale
Dubai's DP World has fully acquired offshore support vessel (OSV) firm Topaz Energy and Marine Bermuda from Muscat Securities Market-listed Renaissance Services and Standard Charted PE Affirma Capital for $1.1bn.
Topaz operates a fleet of 117 vessels in the Caspian Sea, Mena, and West Africa regions.
As of 31 March, 2019, the company – which employs more than 2,500 people – had a contract backlog of $1.6bn and recorded consolidated revenues worth $349m in the 2018 financial year.
DP World’s acquisition of Topaz is in line with its startegy to invest in marine logistics companies with high revenue visibility, a consistent track record, and strong customer relationships.
Prior to Topaz’s acquisition by DP World, Renaissance Services held 86.5% of the firm's shares through its investment in Topaz Jafza, with the remaining 13.5% owned by Standard Chartered PE Affirma Capital.
Renaissance Services said in a missive to the Muscat bourse that it was entitled to receive a settlement from Topaz of an outstanding $78.6m (OMR30.2m) shareholder loan following the acquisition.
Commenting on the acquisition, group chairman and chief executive officer of DP World, Sultan Ahmed Bin Sulayem, said: “This acquisition complements the operations of our P&O Maritime Services business, which maintains over 300 vessels globally."
Renaissance Services' chairman, Samir J Fancy, added: "We acquired a small regional OSV player almost 15 years ago and transformed it into a global leader.
"This transaction sets a solid platform for growth in our services solutions and facilities management businesses, which are less capital-intensive."