Several companies are bidding for some of the gasoline stations held by Wataniya Petroleum, a subsidiary of the National Service Products Organization (NSPO), which is linked to the Egyptian military. The government intends to sell its interest in Wataniya as part of its economic reforms.
According to high-level sources acquainted with the transaction, three final proposals were received at the end of last week, after the time for final bids was extended for many weeks. According to reports, Abu Dhabi National Oil Co. (ADNOC), which pumps nearly all of the UAE’s oil, withdrew from the competition without submitting a final offer. Meanwhile, Taqa Arabia, a subsidiary of Al-Qalaa Holdings Financial Investments Group, has made a financial offer in Egyptian pounds and dollars to purchase several of Wataniya’s gasoline stations.
The sources also revealed that Shell, the global oil giant, formed an alliance with a Saudi investor to bid for Wataniya. Another offer was also submitted by an undisclosed bidder.
The sources indicated that some investors were interested in Wataniya, anticipating the offering of Chill Out, a company that operates convenience stores at gas stations. This came after Hala El-Said, the Minister of Planning and Economic Development, announced the imminent offering of Chill Out. This anticipation led some investors to wait for Chill Out’s offering.
The government will examine the submitted offers and select the winning bid, which may take until next March. The deal will be completed after consultants, including CI Capital as the financial advisor, Grant Thornton, and Adsero as legal advisors, carry out the restructuring process of the company. This involves creating a new entity that will own 174 petrol stations out of the total 300 stations, which will be transferred to the new entity. The NSPO will retain around 126 petrol stations, which are strategic stations of a special nature.
Wataniya was established in 1993 with the aim of establishing and managing service stations for cars within and outside cities and marketing petroleum products, oils, and lubricants. The company began its activities by partnering with Shell and Mobil companies to acquire and transfer expertise, and since 2002, the company has started operating its stations under the name Wataniya.
