Enersol, a joint venture between ADNOC Drilling Company and Alpha Dhabi Holding, has agreed to acquire an additional 42.20% stake in Gordon Technologies for about $270 million, making it the majority owner. This follows their initial purchase of a 25% stake announced in January 2024.
The majority of the payment for this additional stake will be made upon closing, with the rest expected to be paid over the next two years, subject to certain conditions. The deal is pending customary regulatory approvals and closing adjustments.
Gordon Technologies specialises in measurement while drilling (MWD) technology for the oil and gas industry is debt-free. Enersol expects the acquisition to boost its profitability, valuation, cash flow, and dividend potential. Gordon’s free cash flow yield for FY2023 was over 10%.
Enersol plans to continue acquiring and investing in businesses to create a more efficient ecosystem that aligns with the UAE’s energy security goals, net zero agenda, and economic diversification efforts.
With operations starting in the MENA region in Q2 2024, Gordon Technologies is a leading MWD provider known for its modern systems and technological innovations, including rotary steerable interconnectivity systems, which drive the company’s growth.
