The Magazine for Underwater Professionals
23rd November 2017
UK-based offshore engineering services company Global Marine Group (GMG) has announced a multi-million pound deal to acquire the trenching and cable laying arm of Fugro, the Netherlands.
The deal will see GMG acquire Fugro’s trenching and cable laying business in exchange for an equity stake of around 24% in the combined business valued at US$65 million (£49 million), and a one-year secured vendor loan of US$7.5 million (£5.6 million).
The arrangement will involve the transfer to GMG of 23 Fugro employees located in Aberdeen, UK, as well as one vessel (MV Symphony), two Q1400 trenchers and two work-class remotely operated vehicles. Built in 2011, the MV Symphony, a multi-purpose vessel with an extensive 1400-square-metre deck space, will join GMG’s cable installation and maintenance fleet.
GMG, which provides engineering, underwater and cabling services to the oil and gas, telecoms and offshore renewables sectors, said the acquisition will “significantly enhance” its portfolio of service offerings to the market and will provide it with “highly capable, proven assets with a history of delivering complex engineering projects to customers around the world”.
Fugro is a provider of geo-intelligence and asset integrity solutions, which involves the gathering and analysis of data on topography, soil composition and meteorological and environmental conditions.
Since the founding of Fugro’s trenching and cable lay services business in 2012, the company has established a strong presence in the renewables market, working with offshore wind farms including Lincs Wind Farm, Humber Gateway, Gwynt y Môr and Rampion.
The business has also conducted multiple operations in oil and gas for major oil companies such as Shell and BP.
“This acquisition is another deliberate step in our strategic plan, adding extensive capabilities of the Fugro trenching and cable lay team to the Global Marine Group and further equipping us with proven assets to support our growth plans,” said Ian Douglas, chief executive officer of GMG. “I am delighted that Fugro identified us as the right partner to advance their trenching and cable lay business and I am looking forward to welcoming the Aberdeen-based trenching team to our corporate family. We are committed to our vision of engineering a clean and connected future.”