A major supplier of steel tubing to Canada’s oil and gas industry is expanding its presence in Saudi Arabia.
Luxembourg-based Tenaris S.A. says it has reached an agreement to acquire a 47.79 percent stake in Saudi Steel Pipe Company, which produces welded steel pipes, for US$144 million.
Tenaris said it has been operating and serving Saudi Aramco for decades.
Saudi Steel Pipe Company started its operations in 1980 and serves energy, industrial and commercial segments.
The transaction is subject to regulatory approvals, including approval by the Capital Market Authority of Saudi Arabia, and other customary conditions and is expected to close in the first quarter of 2019.