Saudi Arabia's Public Investment Fund (PIF) announced on Monday that it had acquired a 40% stake of the total issued capital of Zamil Offshore Services Company (Zamil Offshore), one of the largest Saudi-based offshore support vessel operators and construction service providers.
PIF’s investment aims to further strengthen the capital base of Zamil Offshore, to enable this Saudi private sector company to continue expanding its services and fleet, to serve the growing demand for offshore support services, including wind power generation activities in the future, said PIF in a statement.
The transaction forms part of PIF’s wider strategy to contribute to the development of Saudi Arabia’s energy base.
Zamil Offshore is one of the largest offshore support companies in Saudi Arabia in terms of market share and fleet size; it manages and operates more than 90 vessels in the Arabian Gulf. It has two joint ventures, with Zamil Mermaid, which provides subsea diving services, and SBS Oceanics, which offers maintenance, modification and upgrade of services for offshore platforms.
Director of investments at PIF, heading the Logistics and Transportation investments in the MENA region Bakr AlMuhanna said: "The offshore support industry remains strategically important to Saudi Arabia and will continue to play a crucial role in addressing the world's energy demand. Our investment in Zamil Offshore will strengthen this vital sector, contributing to PIF’s wider efforts to develop Saudi Arabia’s energy ecosystem."
Zamil Offshore Chairman Tawfiq Al Zamil said they are excited to bring in PIF as an investor and strategic partner.
This step will "usher in a new phase for Zamil Offshore’s continued growth and success, and enable the company to carry on its journey of diversifying and expanding its operations to serve offshore projects in Saudi Arabia", he added.
