ADNOC to acquire 15 service stations in KSA

ADNOC Distribution, the UAE’s largest fuel and convenience retailer, has announced its plans to acquire 15 service stations in the Kingdom of Saudi Arabia, reaffirming its commitment to grow its business in KSA, the largest fuel retail market in the GCC. The purchase consideration for this acquisition is $10m (AED36.7m). Located in the eastern region, with sites dedicated to both highway commuters as well as in-community convenience, the new stations will be refurbished and offer high quality fuel and retail services to customers, including convenience stores. Speaking about the company's plans, its acting chief executive officer, Ahmed Al Shamsi, said: “Expanding our presence in Saudi Arabia is an important milestone for our company and part of our profitable growth strategy. We see this expansion as a natural progression since opening our first station in 2018 and look forward to significantly increasing our presence in the coming years. This is the first announcement of many we intend to make with Saudi being a key strategic market for us as we make ADNOC service stations a destination for all in Saudi. ” ADNOC Distribution opened its first service station in Saudi Arabia in December 2018, located on the Riyadh-Dammam highway around 40km from the capital. It was followed shortly after by the second in the city of Hofuf within Al Ahsa Governate. Upon completion of this transaction, the new locations will bring the company’s total network to 17 across the kingdom. “Saudi Arabia is the largest market in the GCC and there is huge potential for experienced fuel operators like us to consolidate the market and capture further growth,” commented Al Shamsi.

Saudi Arabia · 30 Dec 2020