Latest news with #BroogeEnergy
Yahoo
3 days ago
- Business
- Yahoo
Here is Why Brooge Energy (BROG) Crashed This Week
The share price of Brooge Energy Limited (NASDAQ:BROG) fell by 20.7% between June 10 and June 17, 2025, putting it among the Energy Stocks that Lost the Most This Week. A huge refinery and oil storage facility with high automated machinery for blending and circulation. Brooge Energy Limited (NASDAQ:BROG) is the parent company of Brooge Petroleum and Gas Investment Company FZE, which operates as a midstream oil storage and service provider out of the Emirate of Fujairah in the United Arab Emirates. After a slight pullback, Brooge Energy Limited (NASDAQ:BROG) again plunged this week following the company's announcement that it will voluntarily delist from NASDAQ by mid-June, with no intentions to list its shares on any other securities exchange. Brooge expects the last day of quotation of its shares on NASDAQ to be on or around June 19, 2025. The company's decision to delist was based on a careful review of numerous factors, including the lack of an active trading market for its securities, the resources and expenses associated with maintaining SEC and Nasdaq reporting requirements, and the related regulatory burdens that have led to significant operating expense and attention of the company's management team. While we acknowledge the potential of BROG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 Best Nuclear Energy Stocks to Buy Right Now and Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Arabian Post
11-06-2025
- Business
- Arabian Post
GulfNav Secures $871 Million Deal to Bolster Oil Storage Hub
Arabian Post Staff -Dubai Gulf Navigation Holding PJSC has signed a definitive agreement to acquire the assets and subsidiaries of Nasdaq‑listed Brooge Energy for AED 3.2 billion, a move set to significantly expand its midstream oil and gas capacity. The transaction spans a blend of cash, share issuance, and mandatory convertible bonds, with completion anticipated by the close of the third quarter of 2025, subject to regulatory and shareholder approvals. The bulk of the deal involves taking over Brooge Petroleum and Gas Investment Company FZE, its Phase III FZE entity, and BPGIC Phase 3 Limited—each operating advanced crude, fuel oil, and refined petroleum storage facilities in Fujairah. These strategically located assets will double GulfNav's existing infrastructure, reinforcing its footprint at a key UAE bunkering and storage hub. ADVERTISEMENT Under the structured settlement, GulfNav will allocate 358.8 million new shares at AED 1.25 each to Brooge Energy, enforceable with a 12‑month lock‑up period. It will also issue AED 2.336 billion in mandatory convertible bonds convertible at the same share price and restricted similarly. Existing shareholders have access to AED 500 million in MCBs at AED 1.10 per share, with major investors covering any unclaimed portion. Additionally, AED 460 million will be disbursed in cash. Chief Executive Ahmad Kilani described this acquisition as transformational, explaining that integrating Brooge's storage infrastructure with GulfNav's maritime services will 'unlock operational synergies, enhance storage capacity and drive long‑term value for shareholders.' Incoming facilities in Fujairah are expected to enhance logistical efficiency, lower costs, and broaden GulfNav's revenue mix. This move aligns with GulfNav's strategy to transition from a legacy maritime operator to a diversified energy‑logistics conglomerate. The firm's board was authorised in March 2025 to proceed with the asset acquisition, capital increase, and issue of MCBs, all in light of its shareholders' approval. Regulatory processes and amendments to the company's articles of association—particularly regarding foreign ownership—are now underway. Brooge Energy has previously attracted scrutiny. In December 2024, U.S. investors filed a fraud claim against auditor Ernst & Young, alleging that revenues were overstated by between 30% and 80% during 2018–2020. The firm reached a $5 million settlement with the U.S. Securities and Exchange Commission over irregular accounting practices. Despite these concerns, GulfNav maintains the deal offers strategic value, citing diligence and planned regulatory housekeeping prior to close. Analysts note the landmark nature of this deal; GulfNav's storage assets are poised to surge, positioning it as a key player in the region's rapidly evolving energy-logistics ecosystem. Fujairah's strategic location outside the Strait of Hormuz means its terminals are well placed to serve global crude oil logistics, with Brooge's high-tech blending capabilities offering an edge in operational efficiency. Transaction conditions encompass customary requirements: shareholder approvals, regulatory consents, debt settlements, and commercial registration. GulfNav expects to finalise the share and bond issuance in tandem with regulatory clearance, with the goal of closing by end‑Q3 2025. After completion, the Brooge Energy shareholders and bondholders will receive equity in GulfNav under lock‑up terms. Post-acquisition, GulfNav's board plan includes integrating Brooge's board representatives to ensure continuity and operational alignment throughout the transition. Integration is expected to elevate GulfNav's EBITDA margins and open fresh revenue streams via enhanced storage, blending, and bunkering services. Although GulfNav navigates complexities from Brooge's previous accounting controversies, analysts emphasise the strategic benefits—particularly the ability to offer complete maritime-to-storage and product blending services from a single platform. The expanded Fujairah facilities will allow GulfNav to capitalise on growing crude export flows, further supported by Abu Dhabi's energy growth ambitions. With conventional execution risk low, attention now shifts to securing regulatory and legal clearances, along with capital-raising for the MCB component. Successful completion will mark GulfNav's transformation into a fully integrated energy logistics powerhouse, ready to meet regional demand while delivering enhanced returns to investors.
Zawya
11-06-2025
- Business
- Zawya
Gulf Navigation in deal to acquire Brooge Energy assets for $871mln
Gulf Navigation Holding, a leading maritime and shipping company listed on the Dubai Financial Market, has entered into a deal with Brooge Energy, a leading Cayman Islands-based crude oil, fuel oil and refined fuel products storage company, to formalise the sale and purchase agreement (SPA) in accordance with the acquisition structure that was previously approved by Gulfnav's shareholders in the March general assembly meeting, thus marking a key milestone in the AED3.2 billion ($871 million) strategic acquisition. This agreement finalises Gulfnav's acquisition of the assets and subsidiaries of Nasdaq-listed Brooge, including Brooge Petroleum and Gas Investment Company FZE, Brooge Petroleum and Gas Investment Company Phase III FZE, and BPGIC Phase 3 Limited. Following the signing of the Sale and Purchase Agreement, both parties will work closely to fulfill the remaining conditions required to complete the transaction, including securing final regulatory approvals, satisfying all contractual and legal completion terms, and executing the necessary corporate actions. As part of this process, Gulfnav will implement a capital increase, issue new shares to Brooge Energy Limited, and initiate a structured capital raising initiative through the issuance of Mandatory Convertible Bonds (MCBs). Upon completion, the focus will shift to operational integration to ensure a smooth transition and to unlock synergies across both organizations. All final conditions of the deal are expected to be completed before the end of the third quarter of 2025, subject to customary closing conditions. Signing the agreement reflects the continued commitment of both companies to transform the regional midstream oil and gas landscape. This transaction reinforces Gulfnav's strategy to become an integrated energy logistics powerhouse by significantly expanding its storage, terminal, and related infrastructure capabilities. The acquisition, involves a settlement structure comprising cash, newly issued shares, and Mandatory Convertible Bonds (MCBs). This includes: •Issuance of 358.8 million new shares to Brooge at AED1.25 per share, subject to a one-year lock-up. •AED2.33 billion in MCBs issued to Brooge, convertible at AED1.25 per share. •AED500 million in MCBs exclusively offered to Gulfnav's existing shareholders at AED1.1 per share. •A cash component of AED460 million. Founded in 2013, Brooge today it is one of the most technologically advanced companies in the crude oil storage services sector, as the company's facilities and terminals use advanced technologies consistent with the best international standards. It has strengthened its investments and presence in Fujairah being an important hub in oil storage and exporting. Gulfnav said this acquisition is expected to strengthen its market position and boost operational efficiency and competitive edge. It will also diversify the company's revenue streams and deepen relationships with key strategic partners in the energy sector, positioning Gulfnav to capitalize on future growth opportunities across local and regional markets. Through this strategic expansion, Gulfnav aims to enhance financial performance and deliver greater returns to its shareholders. "This signing marks a pivotal moment in our growth journey. This is more than an acquisition, it's a strategic integration that will allow us to unlock new opportunities in the energy logistics space," remarked its CEO Ahmad Kilani. "By combining our maritime capabilities with Brooge's cutting-edge infrastructure, we are well-positioned to deliver value to our customers, shareholders, and the UAE's broader energy ecosystem," he added. Trussbridge Advisory (DIFC) Limited acted as exclusive financial advisor to Gulfnav on the transaction. Pinsent Masons acted as the lead counsel, while Ibrahim & Partners advised on structuring and regulatory matters of the transaction. -TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Trade Arabia
10-06-2025
- Business
- Trade Arabia
Gulf Navigation in deal to acquire Brooge Energy assets for $871m
Gulf Navigation Holding, a leading maritime and shipping company listed on the Dubai Financial Market, has entered into a deal with Brooge Energy, a leading Cayman Islands-based crude oil, fuel oil and refined fuel products storage company, to formalise the sale and purchase agreement (SPA) in accordance with the acquisition structure that was previously approved by Gulfnav's shareholders in the March general assembly meeting, thus marking a key milestone in the AED3.2 billion ($871 million) strategic acquisition. This agreement finalises Gulfnav's acquisition of the assets and subsidiaries of Nasdaq-listed Brooge, including Brooge Petroleum and Gas Investment Company FZE, Brooge Petroleum and Gas Investment Company Phase III FZE, and BPGIC Phase 3 Limited. Following the signing of the Sale and Purchase Agreement, both parties will work closely to fulfill the remaining conditions required to complete the transaction, including securing final regulatory approvals, satisfying all contractual and legal completion terms, and executing the necessary corporate actions. As part of this process, Gulfnav will implement a capital increase, issue new shares to Brooge Energy Limited, and initiate a structured capital raising initiative through the issuance of Mandatory Convertible Bonds (MCBs). Upon completion, the focus will shift to operational integration to ensure a smooth transition and to unlock synergies across both organizations. All final conditions of the deal are expected to be completed before the end of the third quarter of 2025, subject to customary closing conditions. Signing the agreement reflects the continued commitment of both companies to transform the regional midstream oil and gas landscape. This transaction reinforces Gulfnav's strategy to become an integrated energy logistics powerhouse by significantly expanding its storage, terminal, and related infrastructure capabilities. The acquisition, involves a settlement structure comprising cash, newly issued shares, and Mandatory Convertible Bonds (MCBs). This includes: •Issuance of 358.8 million new shares to Brooge at AED1.25 per share, subject to a one-year lock-up. •AED2.33 billion in MCBs issued to Brooge, convertible at AED1.25 per share. •AED500 million in MCBs exclusively offered to Gulfnav's existing shareholders at AED1.1 per share. •A cash component of AED460 million. Founded in 2013, Brooge today it is one of the most technologically advanced companies in the crude oil storage services sector, as the company's facilities and terminals use advanced technologies consistent with the best international standards. It has strengthened its investments and presence in Fujairah being an important hub in oil storage and exporting. Gulfnav said this acquisition is expected to strengthen its market position and boost operational efficiency and competitive edge. It will also diversify the company's revenue streams and deepen relationships with key strategic partners in the energy sector, positioning Gulfnav to capitalize on future growth opportunities across local and regional markets. Through this strategic expansion, Gulfnav aims to enhance financial performance and deliver greater returns to its shareholders. "This signing marks a pivotal moment in our growth journey. This is more than an acquisition, it's a strategic integration that will allow us to unlock new opportunities in the energy logistics space," remarked its CEO Ahmad Kilani. "By combining our maritime capabilities with Brooge's cutting-edge infrastructure, we are well-positioned to deliver value to our customers, shareholders, and the UAE's broader energy ecosystem," he added.
Arabian Post
31-05-2025
- Business
- Arabian Post
GulfNav's $871M Deal Signals Strategic Shift in Energy Logistics
Dubai-listed Gulf Navigation Holding PJSC has secured shareholder approval for a AED 3.2 billion acquisition of Brooge Energy Ltd.'s assets, marking a significant expansion into the midstream oil and gas sector. The transaction, involving cash, newly issued shares, and mandatory convertible bonds , is expected to close in the second quarter of 2025, pending regulatory approvals. The acquisition encompasses Brooge Petroleum and Gas Investment Company FZE, Brooge Petroleum and Gas Investment Company Phase III FZE, and BPGIC Phase 3 Limited. These entities operate advanced storage facilities in Fujairah, a strategic oil storage and export hub. GulfNav plans to integrate these assets to enhance its storage and logistics capabilities, aligning with its long-term vision to become a dominant player in the energy sector. The deal's financial structure includes the issuance of 358,841,476 new shares to Brooge Energy at AED 1.25 per share, with a one-year lock-up period. Additionally, MCBs worth AED 2.336 billion will be issued to Brooge, convertible at the same price and subject to a similar lock-up period post-conversion. An extra AED 500 million in MCBs, priced at AED 1.10 per share, will be allocated to existing GulfNav shareholders, with major shareholders covering any unsubscribed bonds. A cash payment of AED 460 million completes the settlement. ADVERTISEMENT CEO Ahmad Kilani stated that the acquisition is expected to generate significant operational synergies, including cost savings from integrated logistics and increased storage capacity. Financially, the deal is projected to enhance GulfNav's revenue streams and improve EBITDA margins over the next few years. The issuance of new shares and MCBs will increase GulfNav's share capital by approximately 320%. Brooge Energy, founded in 2013 and based in the Cayman Islands, operates through subsidiaries focused on clean petroleum products, biofuels, and crude oil storage. Its facilities in Fujairah are among the most technologically advanced in the sector, adhering to international standards. The company's strategic location outside the Strait of Hormuz positions it advantageously in global oil logistics. The acquisition aligns with GulfNav's commitment to sustainable growth and operational excellence. Post-acquisition, the company plans to expand its storage and logistics capabilities to meet the growing demand for midstream oil and gas services in the region. By leveraging Brooge's advanced infrastructure, GulfNav aims to improve operational efficiencies, diversify its service offerings, and unlock new revenue opportunities. Additionally, the company will continue to support the UAE's sustainability goals by exploring innovative solutions, such as alternative fuel storage and reduced carbon emissions. The transaction is subject to customary closing conditions and regulatory approvals. GulfNav's Board of Directors has been authorized to take all necessary actions to finalize the acquisition, including completing regulatory approvals, amending the Articles of Association, and overseeing capital increase procedures.
