National Gas to transfer 40% stake in its Indian subsidiary to Petredec
National Gas Company on Monday announced that it has a signed a definitive agreement with global petrochemical, gasoline and shipping giant Petredec to transfer 40 per cent shares of its Indian subsidiary NGC Energy India Private Ltd (NGCEIPL) for around US$8.8mn.
NGCEIPL was established in the year 2018, heralding entry of National Gas of Oman’s entry into India to set up a greenfield LPG import terminal.
In a filing to the Muscat Securities Market (MSM), National Gas said, “The company and Petredec after various deliberations and several rounds of negotiations, have entered into definitive agreements on September 8.”
As per the agreement, out of the total US$22mn equity required to be infused, Petredec through its subsidiary Petredec India Holdings Pte will subscribe to 40 per cent (US$8.8mn) of the equity share capital in NGCEIPL, the company said in the filing.
National Gas explained that it has been in discussions with third parties potentially interested in investing in the Indian subsidiary for partnering in the project by acquiring 40 per cent of the share capital of NGCEIPL.