Signet Buys Harvey Gulf's Towing Division

By Eric Haun May 16, 2014

Shane J. Guidry, Chairman & CEO, Harvey Gulf (left) and J. Barry Snyder, President, Signet Maritime sign closing documents on May 15 at Harvey Gulf International Marine in New Orleans, Louisiana for the sale of Harvey’s Offshore Towing Division to Signet Maritime.
The Signet Warhorse II, is the most powerful ABS classed ocean towing vessel in Signet Maritime’s Offshore Towing Division. At 153.58 metric tons bollard pull, the Signet Warhorse II will lead the fleet providing ocean towing of rigs, spars and other vessels. (Photo: Signet)

Harvey Gulf International Marine has sold its towing division to Signet Maritime Corporation.

Through the deal, Signet will acquire eight offshore towing vessels (OTVs) ranging in size from 75 to 153 metric tons bollard pull. The sale will encompass all Harvey OTVs, spares, business and supplies.

The transfer of OTV ownership was completed on May 15, 2014 in New Orleans, Louisiana with financing provided by Wells Fargo Equipment Finance as part of a $209 million syndicated financing facility.

Signet said it has committed to retaining all crewmembers and plans for Tier 3 Generation of power onboard all eight tugs with conversions starting immediately. Upgrades and refurbishments will take place at Signet Shipbuilding & Repair in Pascagoula, Mississippi.

“The combination of Harvey and Signet follows a thorough due diligence process and is fully consistent with our strategy of being a one-stop turnkey source for all our customers’ needs,” said J. Barry Snyder, Signet’s President.

Harvey Gulf CEO, Shane Guidry, said the sale of Harvey Gulf’s towing division to longtime partner Signet Maritime is part of the company’s transformation strategy. Harvey Gulf also announced today a fourth generation of the Guidry family, Ashton Guidry, son of Shane Guidry, has joined the company.

Harvey Gulf’s towing division, which towed drilling rigs for 59 years, was once the company’s platform for growth when Shane Guidry and the Jordan Company purchased Harvey Gulf from the second generation of the Guidry family in 2008. Since then, Harvey Gulf has transformed to a provider of offshore supply, subsea construction, and crewing vessel services and quintupled in size, the company said.

“If my grandfather was alive today, he would be proud of what we have accomplished at Harvey Gulf and to see a fourth generation of our family enter the business, Shane Guidry said. “The sale of our towing division is just another step in the ongoing transformation of Harvey Gulf. In 2012, we signed contracts to build the first vessel in America that will operate using LNG as its primary fuel source. In 2013, we signed a contract to construct America’s first LNG marine fuel dock and began building the first Heavy Construction Vessels capable of delivering 100 metric tons to a depth of 4,000 meters. “

For Signet, the purchase expands its vessel classes and allows the company to broaden its service, offering more than 38 ASD tractor and conventional vessels to customers in the Gulf of Mexico and worldwide, the company noted.

The addition of the eight ocean-class offshore towing vessels not only enhances Signet’s fleet, but also enables it to provide ocean towing of semi-submersible, jack-up drilling rigs, TLPs, anchor handling and subsea pipeline installation support. Signet will continue to maintain its Offshore Towing Division operations from Port Fourchon, Louisiana.

Included vessels: