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Renaissance
subsidiary, Topaz Energy and MARINE Ltd. (TOPAZ) today
announced that it had sold an 80% shareholding in Mezon
Stainless Steel FZE to Sumitomo Corporation of Japan for AED 36,000,000 in cash. The transaction was completed
yesterday and a significant capital gain will be recorded
by the parent company. Mezon Stainless Steel FZE is
recognized as one of the leading stockist of stainless
steel products for the oil & gas industry in the region
and operates a 5,500 sqm warehouse facility in the Jebel
Ali Free Trade Zone. |
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The management announced the sale following a strategic
review of its businesses. “Mezon has been an excellent
business for us but it is not central to our long-term
direction” said Topaz CEO Mr. Anjan Mitra. The divestment
has been made with the strategic intent of focusing on
Topaz’s core marine and oil& gas services related business
(which has expanded significantly following the
acquisition of BUE Marine). Apart from realizing value for
the enterprise it will also unlock funds otherwise
deployed in the associated working capital of this trading
business. Topaz is currently engaged in a major vessel
construction program to take advantage of robust growth in
the offshore oil & gas sector. |
“Sumitomo has had a long and successful association with
Topaz and we are delighted to take our partnership to a
new level by acquiring a majority stage in Mezon” said Mr.
Kazutoshi Fujii of Sumitomo Corporation.
“Sumitomo is a global supplier of stainless steel products
and we believe this transaction will allow Mazon to grow
further by expanding its market reach and product lines”
said Mr. Anjan Mitra.
Mezon parent company, Topaz Energy and Marine Ltd., is one
of the leading Dubai based oil & gas services company.
Topaz was acquired earlier this year in an all paper offer
by Renaissance Services SAOG.
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