ADNOC Drilling Seals 80% Petroleum Stake Ahead of Schedule
ADNOC Drilling completed its 80% petroleum stake acquisition of MBBS Petroleum Services in mid-2026, ahead of schedule, through a deal with MB Holding Company. The transaction gives its wholly-owned subsidiary control of a drilling and oilfield services business active in four Gulf countries and adds 22 excavators and maintenance excavators to the portfolio.
The 80% holding leaves MB Holding with a 20% stake through its subsidiary, while the joint venture’s institutional value stands at AED 749.2 million. For shareholders, the immediate change is operational control: ADNOC Drilling will fold the joint venture’s financial results into its onshore drilling sector results from the date of completion.
MBBS Adds Four Gulf Markets
Four geographical areas now sit inside ADNOC Drilling’s reach through MBBS: Oman, Kuwait, Saudi Arabia and Bahrain. The acquired portfolio also includes production service units, pre-qualifications and subsidiaries, giving the buyer a broader operating base than a simple rig count would suggest.
22 excavators and maintenance excavators came with the transaction, along with the rest of MBBS’s service footprint. That makes the asset mix more diversified than a standalone drilling fleet, and it gives ADNOC Drilling a larger platform across Gulf oilfield services without waiting for new-build capacity.
AED 734.6 Million Revenue Base
AED 734.6 million in fiscal 2025 revenue shows the scale of the business ADNOC Drilling bought into, while the joint venture’s EBITDA margin (earnings before interest, taxes, depreciation, amortization) was about 30% that year. Those figures point to a business that was already producing cash before the acquisition closed.
20% higher cash flows and 40% higher net profit in the first quarter of 2026 added another layer to the deal, after MBBS obtained contracts in January 2026 to operate four additional drilling rigs. Three of those rigs are in Kuwait and one is in Oman, with operations expected to begin in the second half of 2026 to the first half of 2027.
2027 Will Show Full-Year Impact
2026 will capture the joint venture’s results only from the completion date, but fiscal 2027 will be the first full year to include MBBS in ADNOC Drilling’s numbers. The company said the agreement is expected to enhance profits, cash flows and returns, and its framework says the internal rate of return is not financed by borrowing and is higher than the company’s local rate.
That leaves investors with a clean read on the next phase: integration now, full-year contribution later. If the operating profile holds while the four new rigs come online, the acquisition’s effect should show up first in the onshore drilling sector results, then more clearly in the 2027 fiscal year.
