DUBAI, Jan 21 Reuters Abu Dhabi National Oil Company39;s logistics arm has transferred its tankers to Navig8 after it bought 80 of the firm for more than 1 billion and will cut part of its workforce, the state oil giant said in a statement.

ADNOC Logistics Services, which raised nearly 770 million in an initial public offering in 2023, said in June it was buying Singaporeheadquartered Navig8 as part of its growth strategy.

ADNOC has listed several of its units in recent years and pursued a string of deals to expand in nearly every part of its business, including in chemicals and natural gas.

Transferring its commercial activities to Navig8 would allow ADNOC to better serve its customers and continue innovating and growing in a highly competitive marketplace, it told Reuters late on Monday.

We are committed to minimising impact on people, however as we streamline operations there will be a small reduction in our workforce, ADNOC added, without giving numbers.

Two sources had told Reuters that ADNOC LS had notified customers that Navig8 would handle its chartering operations.

The 1.04 billion acquisition of Navig8 was mostly funded by a hybrid capital instrument issued by ADNOC LS for up to 2 billion, with the first drawdown of 1.1 billion made at an allin pricing of less than 150 basis points over the Secured Overnight Financing Rate SOFR, ADNOC LS said earlier this month.

The remaining amount is available to fund new or previously announced investments, it said….