SEPC Limited to Expand into UAE’s Oil & Gas Sector with AEEIS Acquisition

SEPC Limited informed in a stock exchange filing that the company’s wholly-owned subsidiary, Shriram EPC (FZE), has successfully concluded the execution of the Share Purchase Agreement to acquire a 75% stake in ALMOAYYED Electrical Equipment & Instrumentation Systems LLC (AEEIS), headquartered in Bahrain.

This acquisition was facilitated with the support of the company’s promoter, Mark AB Capital Investment LLC, based in Dubai. The transaction, valued at AED 1 million and executed on an arm’s length basis, marks a strategic move into the Engineering & Construction, Electrical, and Instrumentation sectors of Oil & Gas projects.

The primary objective behind this acquisition is to expand SEPC’s geographical footprint in the UAE market, with a specific focus on securing projects from the Government of UAE, including prestigious Oil & Gas projects with clients such as ADNOC.

Established in 2004, AEEIS has built a robust reputation for its expertise in Industrial Electrical Equipment, Control and Automation Systems, Field Instrumentation Systems, and Transmission, Protection, and metering Systems. Operating in both UAE and Bahrain, AEEIS has positioned itself as a key player in the engineering industry within the emirate of Abu Dhabi.

SEPC has initiated the process of renaming AEEIS to SEPC Middle East Engineering & Construction LLC, pending approval from the Department of Economic Development (DED) of the Abu Dhabi Government. The proposed name change is expected to enhance SEPC’s brand visibility and operational synergy within the GCC countries, facilitating easier access to regional projects.

The acquisition is anticipated to be completed within approximately six weeks, subject to regulatory approvals. With this strategic move, SEPC aims to leverage AEEIS’s established market presence and technical capabilities to strengthen its portfolio in the UAE’s lucrative Oil & Gas sector. This initiative aligns with SEPC’s broader growth strategy of expanding its footprint in high-potential markets and enhancing its capabilities to cater to diverse regional engineering and construction needs.

About SEPC Limited

SEPC specialises in delivering EPC contracts, offering comprehensive solutions that include design, engineering, procurement, construction, and project management services across water treatment, process industries, metallurgy, and infrastructure sectors.

On July 2, 2024, the share price of SEPC Ltd opened at ₹19.00, touching the day’s high at ₹20.05, as of 11:51 AM on the NSE.

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