12 June 2019

Acquisitions in Qatar

In accordance with Greek Law and Athens Stock Market Regulations, AVAX SA hereby announces that following a competitive process, the Joint Liquidators of Joannou & Paraskevaides (Overseas) Limited, of Alvarez & Marsal Europe LLP, have selected AVAX SA as the Buyer of the shares that J&P (Overseas) Ltd held in the following companies:

  • 100% of Conspel Construction Specialist (Isle of Man) Limited
  • 49% of J&P Qatar WLL
  • 49% of Abu Dhabi J&P LLC

The acquiring legal entity is AVAX MIDDLE EAST Ltd, a newly established Cypriot company, with AVAX SA as its ultimate parent company.

The acquisition of the 3 companies demonstrates AVAX’s commitment in remaining an active participant in Qatar, a market in which AVAX has operated for more than a decade through a combination of works (roads, public works and technical projects). It also offers positive prospects to AVAX for future growth in a region with steady flow of procurement for large scale electromechanical and plumbing works.

Furthermore, the acquisition is supportive to the proper continuation of existing projects together with their associated employees.

The estimated H2, 2019 turnover of the companies being acquired is $200mn. At the same time, AVAX will become a majority partner in the Qatar Foundation Stadium Construction Joint Venture, in which it currently holds a 24% stake. The stadium is expected to reach completion by the end of 2019 and with a total size of $650mn it is of importance to the country for the upcoming 2022 FIFA World Cup.

The acquisition is subject to certain approvals from local clients, partners and authorities which are expected to be obtained in the coming weeks. The acquisition price is not material within the context of AVAX’s financial position. Consolidation of the acquisition will be reflected in AVAX’s H1 2019 published accounts following the relevant approvals.

Marousi, June 12, 2019
THE BOARD OF DIRECTORS

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