Arab Petroleum Investments Corporation Boosts Callable Capital
Posted on 04/20/2020
The Arab Petroleum Investments Corporation, also known as APICORP, is a provider of lending and financing to oil and gas companies. The multilateral development financial institution APICORP is owned by 10 members states of the Organization of Arab Petroleum Exporting countries (OAPEC). The owners of APICORP ratified an increase in callable capital to US$ 8.5 billion, from US$ 1 billion. Callable capital refers to the portion of the capital not yet paid in by the company’s shareholders. In addition, US$ 500 million will also be transferred from the corporation’s general reserves and retained earnings into its issued and fully-paid capital.
APICORP’s general assembly also expanded the authorized capital of the organization to US$ 20 billion and subscribed capital to US$ 10 billion.
November 2019 Deal
On November 13, 2019, APICORP announced its first equity investment in Kuwait with the acquisition of a 24% equity stake in Al Khorayef United Holding and GC-16 JV (AKUH), a Kuwait-based oil and gas services and facilities management company. Al Khorayef Petroleum Company is a subsidiary of Saudi-based Al Khorayef Group. United Oil Projects is a unit of Qurain Petrochemical Industries Company (QPIC), a private investor in the petrochemical and related industries in Kuwait, which in turn is part of the Kuwait Investment Projects Company (KIPCO) group of companies. APICORP was advised on the deal by HC Securities & Investment, Douglas Westwood, ASAR, and Protiviti Kuwait.
In January 2014, Al Khorayef Petroleum Company signed a significant contract worth SR 1,031,576,437 SAR with Kuwait Oil Company to operate more than 400 oil producing wells.