Welspun Mauritius Divests Stake in Saudi Company EPIC

Welspun Mauritius Holdings Limited sold a 5% stake in East Pipes Integrated Company for Industry for 218.9 million Saudi Riyals. This transaction reduces Welspun's stake to 26.5% but retains its position as the largest shareholder. Proceeds will fund a new project by Welspun Pipes Company in Saudi Arabia.

Welspun Mauritius Holdings Limited (WMHL) has announced the divestment of a 5 percent equity stake in East Pipes Integrated Company for Industry (EPIC). The sale, valued at 218.9 million Saudi Riyals, was executed through a series of negotiated trades on the Tadawul Stock Exchange.

This transaction reduces WMHL's ownership in EPIC from 31.5 percent to 26.5 percent, yet the company remains the largest shareholder. The deal adds significant liquidity, which WMHL plans to reinvest in its wholly-owned subsidiary, Welspun Pipes Company, in Saudi Arabia.

The funds will aid in financing a USD 200 million capital expenditure for greenfield projects in ductile iron and LSAW pipes. This strategic move aims to bolster Welspun's footprint in the Kingdom of Saudi Arabia's industrial landscape.

(With inputs from agencies.)