Riyadh – Mubasher: Saudi Arabian Oil Company, globally known as Saudi Aramco, has signed an agreement with the Russian Direct Investment Fund (RDIF) and the Saudi Public Investment Fund (PIF) to acquire a 30.7% stake in Russian services company Novomet from Rosnano, according to RDIF’s recent statement.

Novomet is considered a major producer of oil-submersible equipment in Russia and globally. 

The deal was signed in the presence of Russian President Vladimir Putin and King Salman bin Abdulaziz.

“The consortium will contribute to the further development of Novomet's business, both in existing and in new markets, including the Middle East,” the statement said.

The deal also marks the first joint investment by RDIF, Saudi Aramco and PIF through their energy investment platform set up in 2017, which aims to invest in companies in the energy sector of the Russian Federation with the possibility of subsequent localization of business in Saudi Arabia and the Middle East.

“RDIF, in partnership with Saudi Aramco and PIF, will support significant growth of Novomet's business both in Saudi Arabia and other key markets in the Middle East. The company will be able to expand its pipeline of orders for the production and maintenance of equipment and further develop its product line,” Kirill Dmitriev, CEO of RDIF, commented on the deal.