National Gas Co (NGC) has signed a share-transfer agreement with UAE-based Ashtech Gas Engineering and Services FZC to sell its entire 70 per cent stake in its subsidiary Innovative Energy Systems LLC, the company said in a filing to the Muscat Securities Market on Tuesday.
“NGC wishes to announce that on January 21, 2013, a share-transfer agreement was signed between the company and Ashtech Gas Engineering and Services FZC [the buyer] and a nominee of the buyer pursuant to which the company has sold and transferred its shareholding in Innovative Energy Systems to the buyers,” the NGC disclosure said.
NGC said that the agreement has been filed with the Ministry of Commerce and Industry, and the transaction is not going to materially impact the financial position of the company.
Innovative Energy is engaged in the installation of centralised gas systems for domestic and industrial establishments. The company was incorporated to provide gas and fire technology and services in the region.
Innovative Energy was jointly incorporated by NGC and Ashtech, which specialises in global standard equipment for the gas industry and provides gas-technology solutions in the Middle East.
In December last year, NGC had also dissolved its wholly owned subsidiary Shoulat al Aman Gas Co, which was engaged in LPG distribution.