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Subsea 7 — M&A Activity 2017
Jan 17, 2017
6244_iss_2017-01-17_648b8b24-4965-4f71-911d-a4680562fc64.html
M&A Activity
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Subsea 7 announces offer for Seaway Heavy Lifting
Subsea 7 announces offer for Seaway Heavy Lifting
Luxembourg - 17 January 2017 - Subsea 7 S.A. (Oslo
Børs: SUBC, ADR: SUBCY) today announced that one of
its wholly owned subsidiaries has made an offer to
acquire the 50% shareholding in Seaway Heavy Lifting
Holding Limited currently owned by K&S Baltic Offshore
(Cyprus) Limited. The terms of the offer are binding
on Subsea 7 until 1 July 2017. During this period the
Works Council representing the employees of Seaway
Heavy Lifting in the Netherlands will be consulted in
compliance with Dutch law.
Jean Cahuzac, CEO, said: "Subsea 7's strong market
position in offshore energy services is complemented
by Seaway Heavy Lifting's expertise in three areas of
offshore activity: renewables, heavy lifting
operations and decommissioning of oil and gas assets.
We believe that this acquisition will allow us to
strengthen Subsea 7's position in businesses where we
expect increased activity and opportunities for long
term growth.
Seaway Heavy Lifting is a specialist offshore
contractor and operates two world-class heavy lift
vessels. It employs approximately 550 employees and is
headquartered in the Netherlands.
Seaway Heavy Lifting is a joint venture in which
Subsea 7 currently holds a 50% interest. If the offer
to acquire the remaining 50% is accepted, Seaway Heavy
Lifting would become a wholly owned subsidiary of
Subsea 7.
Subsea 7 is offering an initial consideration of USD
279 million on completion and deferred consideration
of up to USD 40 million to be paid by the end of the
first quarter 2021 on condition that certain
performance targets are met. The considerations will
be funded from Subsea 7's existing cash resources.
As at 31 December 2015 Seaway Heavy Lifting had net
assets of USD 413 million, including net debt of USD 4
million. Selected financial information for Seaway
Heavy Lifting was included on pages 67 and 68 of
Subsea 7's 2015 Annual Report and Consolidated
Financial Statements, which is available to download
from www.subsea7.com.
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Subsea 7 S.A. is a leading global contractor in seabed-
to-surface engineering, construction and services to
the offshore energy industry. We provide technical
solutions to enable the delivery of complex projects
in all water depths and challenging environments.
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Contact for investment community enquiries:
Isabel Green
Investor Relations Director
Tel +44 (0)20 8210 5568
www.subsea7.com
Contact for media enquiries:
Julie Taylor
Corporate Communications
Tel +44 (0) 1224 526270
www.subsea7.com