4 December 2013
Arabtec Holding has entered an agreement to increase its stake in Target Engineering Construction to 98% for $73.5m.
Arabtec acquired 60% of Target in 2007 and the acquisition of a further 38% will support the firm’s planned expansion in the oil, gas and power sectors, Arabtec said.
Arabtec CEO Hasan Abdullah Ismaik said the acquisition was "the next logical step" after its recent joint venture with Samsung Engineering, set up to bid for multi-billion dollar projects in the oil and gas, power and related infrastructure in the MENA region – although Target will remain focused on medium-sized contracts.
Target Engineering senior management will retain the remaining 2% stake.