The acquisition is expected to be completed during the current quarter.
Noatum, a subsidiary of Abu Dhabi Ports Group, has acquired a majority stake in Safina Shipping Services, which provides shipping and maritime agency services in Egypt and the Middle East, according to a disclosure published by the Abu Dhabi Securities Exchange on Friday.
The acquisition deal is expected to be completed by the third quarter of 2024, according to the disclosure, without mentioning further details about its financial value or financing methods.
Deal worth €660 million
In early July 2023, Abu Dhabi Ports Group completed the acquisition of Spanish logistics company Noatom in a deal worth €660 million ($720 million). Noatom also has a presence in Turkey, the US, the UK, China and Southeast Asia.
Nuatom is leading the logistics sector of Abu Dhabi Ports Group. The process of integrating Nuatom’s 2,800 employees and businesses into the logistics sector operations has already begun.
“Through this move, we aim to strengthen our presence in key markets and diversify our offerings and services in Egypt and the Middle East and North Africa, providing greater flexibility and opportunities to meet the needs of our customers,” said Terry Gidlow, CEO of Noatom.
“Extensive presence” in Egypt
The deal also comes in light of Abu Dhabi Ports Group’s “extensive presence” in Egypt, which was recently strengthened by signing concession agreements to manage and operate cruise and RO-RO terminals in the ports of Safaga, Hurghada, Sharm El Sheikh and Sokhna (northeast), with total investments worth $4.7 million, according to a statement issued by the Egyptian Prime Minister’s Office on June 12.
In addition to the first contract, two contracts were signed between the General Authority of the Suez Canal Economic Zone and Abu Dhabi Ports Group, whereby the Emirate company is awarded a contract to finance, design, build, develop, manage, operate, exploit, maintain and redeliver the superstructure of the Ro-Ro terminal on the Mediterranean Sea, and the passenger and cruise ship terminal at Sokhna Port in the Suez Canal Economic Zone, for a period of 30 years
“Full suite” of shipping agency,
Safina Shipping Services offers a “full suite” of shipping agency, marine and logistics services to shipping companies operating in the metals, minerals and fertilizer sectors. It will also leverage Nawatom’s international network to expand its client base and attract new businesses in multiple business sectors, enabling it to strengthen its local presence, the statement said.
Safina Shipping Services operates in six strategic locations, from its headquarters in the Egyptian capital Cairo, enabling it to provide agency services to up to 15 Egyptian ports, regular and irregular shipping line agency services, and transportation services through the Suez Canal, according to the statement.
Safina Shipping Services is set to be rebranded as Nawatom Marine Services Egypt, and its business will be integrated into Nawatom Marine Services’ portfolio “in due course,” with the company’s founders retaining a minority stake, according to the statement.
