Oman Oil Marketing Co. acquired a 40 percent shareholding in blender Lubechem International Industry, based in the United Arab Emirates, for 1.5 million dirham (U.S. $408,000), according to a filing with the Muscat Securities Market.
The primary business purpose of Lubechem is the manufacturing and blending of greases, lubricants and chemicals, and the acquisition is expected to enhance the ability of [Oman Oil Marketing] in its lubricants vertical supply chain integration process, the company stated in the filing.
Oman Oil Marketing first announced negotiations for the deal in February 2013. Lubechem is located in Ras Al Khaima, in the northern part of U.A.E.
According to its web site, Oman Oil Marketing is the sole distributor of Castrol and BP branded lubricants in Oman, servicing market segments such as commercial and industrial, franchise workships, rigs, transport companies and the government. The company also operates nine LubePlus quick lube facilities.
Government owned Oman Oil Marketing launched its own lubricants brand in the Sultanate of Oman in October 2013. Products offered under the brand include automotive, commercial and specialty lubricants and greases.
Also in October, Oman Oil Co. acquired chemical manufacturer Oxea from private equity firm Advent International.