Sale of 37 PSVs to Tidewater: Solstad Offshore's Exit from PSV Sector Imminent

Norwegian offshore vessel owner Solstad Offshore has revealed the expected completion date for its previously agreed sale of 37 platform supply vessels to the U.S. offshore vessel firm Tidewater.

Solstad Offshore in March said it would sell 37 PSVs to Tidewater in a move that will mark Solstad Offshore's exit from the platform supply vessel sector.

In a statement on Wednesday, Solstad Offshore said the transaction was scheduled to be completed in "week 27." 

Given that we're currently in week 26 of 2023, the transaction is expected to be completed next week.

Under the agreement, ongoing PSV charter parties will be transferred to Tidewater. It was said back in March that the offshore employees associated with Solstad Offshore's PSV Fleet would be offered employment with Tidewater. Tidewater will also offer employment to certain of the onshore employees.

Solstad said the sale would reduce its debt and strengthen its balance sheet and liquidity position, and that the sale represented a shift in the company's strategy in a changing market, where  PSVs mainly support the oil and gas industry, while the AHTSs and CSVs can service all offshore energy sectors, including oil and gas and renewables. 

Solstad said in March that its focus going forward would be on high-end construction support vessels and AHTS vessels and project-related work, which increasingly generate its EBITDA from the renewable energy market.