Subsea 7 Acquires Seaway Heavy Lifting
Specialist offshore contractor Seaway Heavy Lifting, a 50/50 joint venture between Subsea 7 S.A. and K&S Baltic Offshore (Cyprus) Limited, is now a wholly-owned subsidiary of Subsea 7.
Subsea 7 said it acquired the remaining 50 percent shareholding in Seaway Heavy Lifting Holding Limited and its subsidiaries on March 10, 2017 for a cash consideration of $279 million on completion and an additional consideration of up to $40 million to be paid in 2021 on the condition that certain performance targets are met.
“Our investment to acquire the remaining shares in Seaway Heavy Lifting, such that it becomes a wholly-owned subsidiary of our group, is aligned with our strategy to grow and strengthen our business for the long-term,” said Jean Cahuzac, CEO of Subsea 7. “Consolidating Seaway Heavy Lifting into the group increases our participation in Renewables, Heavy Lifting and Decommissioning services. These are areas where we expect market activity to increase and see potential to grow our market share.”
The Netherlands based Seaway Heavy Lifting operates two world-class heavy lift vessels and employs 550 people.
The group will report revenues and net operating income from Seaway Heavy Lifting within a new business unit ‘Renewables and Heavy Lifting’. This new reporting structure will be reflected within the Subsea 7’s first quarter results, which will be announced on April 27, 2017.
Seaway Heavy Lifting’s board of directors comprises Nathalie Louys, Agapios Agapiou and Chris Georghiades, and its senior management team includes Jan Willem van der Graaf as Chief Executive Officer, Arjan van der Laan as Chief Financial Officer and Peter de Bree as Chief Operating Officer.
