Graphene specialist Directa Plus PLC (LON:DCTA) has bought a majority stake in one of its oil services partners, Romanian firm Setcar.

Total consideration for the deal is €4.1mln, with Directa Plus chipping in 51%, which is pro-rata to its stake once the acquisition completes.

It is buying Setcar jointly with GVC, a company whose owner supplies offshore oil rigs in Romania, Turkey, Greece and Mexico.
Setcar specialises in oilfield contamination and has been helping Directa Plus develop its Graysorber graphene-enhanced decontamination units since 2014.

Setcar posted revenues of almost €4mln in 2018.

Directa is raising a firm £7.2mln through a placing at 75p plus up to a further £1mln through an open offer to help fund the deal and provide working capital.

Giulio Cesareo, Directa’s chief executive, said it was a transformational acquisition.

“Just as we are seeking to do in textiles, we are now proposing to take more control of the environmental supply chain to capture maximum value from the commercial offering made possible by our Grafysorber technology.

Acquiring the expertise, the engineering ingenuity and the ability to operate from a well-established service provider will drastically reduce the time to capture a share of the large global market, he added.

Half-year results from Directa showed revenues jumping 56% to €895,000 with losses little changed at US$1.78mln.

The Italian group cautioned, however, that its workwear deal with Grassi was running behind schedule and only a small part of the order will now come through this financial year.