Dubai’s Arabtec To Increase Target Engineering Stake

Dubai builder Arabtec will raise its stake in contractor Target Engineering to 98 per cent from 60 per cent in a Dhs270 million ($73 million) deal, Arabtec said on Tuesday.

Target Engineering focuses on the oil and gas, power and marine sectors with operations in the United Arab Emirates, Qatar, Saudi Arabia and other countries.

Arabtec said the move, which follows the launch of its energy-focused joint venture with Samsung Engineering , was another step in the company’s strategy to expand into the oil and gas sector.

The deal will be funded by the proceeds from Arabtec’s recent rights issue, it said.