Agnelli's Exor Buys 13% Stake in Danish Oil-Tech Firm Welltecby
Exor invests 103.3 million euros for minority holding
Investment part of Elkann's strategy for Agnelli family
The Italian holding company, which controls carmakers Fiat Chrysler Automobiles and Ferrari NV, is investing 103.3 million euros ($116 million) for the stake in Welltec, which provides robotic solutions for the cleaning, maintenance and repair of oil wells.
After reshaping Exor’s portfolio with the acquisition of U.S. reinsurer Partner Re and becoming the largest investor in The Economist, Chairman John Elkann is looking for acquisitions of minority stakes "in companies with high growth potential and to support the development plans of talented entrepreneurs," Exor said in a statement.
Oil is down about 23 percent this year on speculation a global glut will persist amid the outlook for increased exports from Iran after the removal of international sanctions and brimming U.S. crude supplies. Exor said "it’s an interesting occasion to invest at a time when valuations in the oil and gas sector are low and changes in the industry are creating new opportunities."