NMDC LTS, a fully owned subsidiary of Abu Dhabi’s NMDC Group, has officially announced the signing of a definitive agreement to acquire a 70 percent share of the capital and voting rights in Emdad, a comprehensive service provider specializing in the oil and gas, utilities, and industrial sectors.
This strategic acquisition, pending regulatory approvals, will allow NMDC Group to enhance its presence in oilfield services, thereby diversifying its offerings and driving its competitive edge. The move, according to a release, enables NMDC Group to deliver an expanded range of services, including operations and maintenance, which complements its existing strengths in engineering, procurement, construction, and installation.
Leveraging established partnerships
By leveraging its well-established partnerships with the Abu Dhabi National Oil Company (ADNOC) and ARAMCO, NMDC aims to scale its operations and diversify its service portfolio. These initiatives are in line with NMDC’s strategy to promote value creation, enhance its regional footprint, and support revenue growth. Furthermore, the acquisition takes advantage of the favorable market conditions in the regional oil and gas sector.
This announcement follows the successful listing of NMDC Energy PJSC on the Abu Dhabi Securities Exchange (ADX), which saw substantial interest with an IPO that was oversubscribed by 31.3 times. This achievement underscores NMDC Group’s credibility, strategic execution, and robust market position.
Expanding service capabilities
Eng. Yasser Zaghloul, CEO of NMDC Group, stated that the acquisition of a controlling interest in Emdad represents a significant milestone in their journey to redefine excellence within the energy sector. He noted that this strategic initiative highlights their dedication to the UAE’s vision for a resilient and future-ready energy landscape, while enhancing their role as a trusted partner in the region’s vibrant market. Also, by merging Emdad’s proven expertise with NMDC’s scale and innovation, they are establishing a formidable platform to deliver enhanced value, expand service capabilities, and drive sustainable growth for clients, partners, and stakeholders. He further emphasized that together, they are paving the way for a more diversified and resilient future in the energy sector.
Providing greater value to customers
Moreover, Mohammed Juma Al Bawardi, CEO of Emdad, remarked that they are thrilled to enter this new chapter of Emdad’s journey alongside NMDC Group. Since their establishment in 1979, Emdad has positioned itself as a premier energy services provider in the UAE. He further expressed confidence that their compelling partnership with NMDC Group will allow them to provide even greater value to customers and achieve shared goals for growth and success.
Furthermore, Emdad has consistently showcased strong revenue growth and maintained a robust balance sheet, supported by diversified revenue streams that encompass upstream well services and downstream maintenance activities. These competencies reinforce its well-established market presence. The company has built lasting relationships with major clients, including ADNOC, Borouge, and Emirates Global Aluminum (EGA), and offers comprehensive support across the oil and gas value chain—from well intervention and waste management to asset integrity management.
Specialized services and subsidiaries
Emdad’s operations are further enhanced by its subsidiaries, which deliver specialized services in areas such as well construction, plant maintenance, catalyst handling, and facility management. Key divisions include Emjel, specializing in coiled tubing and cementing; Emdad Services, focused on operational maintenance; and IGC, which manages civil and electrical facility operations.
This acquisition signifies a significant advancement in NMDC Group’s broader objectives for expansion and diversification, setting the stage for future innovation and leadership in the energy sector.
NMDC Group plans to keep the stock market informed regarding any developments related to this acquisition.
Advisory roles
NMDC Group: A&O Shearman (Legal counsel) and PricewaterhouseCoopers (Financial advisor)
Emdad Shareholders: Clyde & Co (Legal counsel) and KPMG Lower Gulf (Financial advisor)
