SAIC signs agreement to sell NPS Bahrain stake

Saudi Advanced Industries Company (SAIC) is announcing that the shareholders of NPS Bahrain For Oil and Gas Wells Services, of which SAIC owns 20%, agreed to sell all the shares NPS Bahrain For Oil and Gas Wells Services owns in NPS Energy (Company under formation) to AKER Solutions ASA (AKER). AKER is a global company whose core business is in the oil and gas segment. The sale agreement is signed on Sunday evening, May 20th. 2012.

SAIC will receive an amount of US$ 110 million (SR 412.5 million) The initial cost of these shares was US$ 100 million (SR 375 million). It is expected that a book loss of SR 17 million will be realized in the sale transaction. This is primarily caused by adding, all unrealized profits, to the investment cost from inception in compliance with equity method of accounting.

It is anticipated that the process of sale and transfer of funds to SAIC will be concluded within six months. Any new developments on this subject will be announced at the appropriate time.