Bankruptcy plans halted as industrial player takes an interest in Argeo

July 9, 2025, by Nadja Skopljak

Norway’s subsea services provider Argeo has postponed its decision to file for bankruptcy after receiving an indication of interest from an industrial player.

It was reported on July 7 that Argeo and its Norwegian subsidiaries Argeo Survey, Argeo Robotics and Argeo Multiclient had resolved to file for bankruptcy as the group was in a challenging financial position, with limited liquidity and limited resources to satisfy its short- and long-term obligations, said to be due to a difficult market situation and the lack of necessary contracts to generate stable revenue.

In the same announcement, it was stated that non-Norwegian subsidiaries in Scotland, Singapore and the U.S. would also file for bankruptcy, and that Argeo Survey had received notifications of termination and repossession from charter owners for the charters of the vessels Argeo Searcher and Argeo Venture.

However, a change of plans occured as Argeo had received an indication of interest from what it said was a significant industrial player to conduct a transaction involving Argeo and/or all or substantial parts of its subsidiaries, including providing financing for the continued operations of the group.

As the company’s board supports pursuing the above interest, the decision has been made to allow the interested party the opportunity to finalize and confirm a proposed transaction to be presented to the board and the shareholders.

“Assuming that the board remains confident that the indicated interest represents a realistic opportunity for the Company to secure sufficient funding within a realistic time period, it has decided to suspend its decision to file for bankruptcy for the time being. However, no agreements have been entered into at this time and there are no guarantees that the process will succeed, and the board is prepared to continue with its filing for bankruptcy at any time,” Argeo said.

In light of this, the company has requested Euronext Oslo Børs to uphold the decision to suspend the trading of its shares until any new information can be provided to the market regarding the potential bankruptcy process and/or the received indication of interest.

Further information is expected in due time.

Why bankruptcy?

On July 4, Argeo announced that it had since completing the NOK 150 million (around €12.7 million) private placement in February secured less work and revenues than expected and that it currently does not have any work secured for its vessels and autonomous underwater vehicle (AUVs) until the potential four-year contract in South America starting in the second half of 2026.

This resulted in the company using up its cash reserves and requiring additional funding. In order to improve operational stability and strengthen its ability to meet ongoing commitments, several processes to raise capital were initiated, including potential equity financing, debt financing, disposal of assets and other strategic partnerships or instruments aimed at strengthening the financial base and bridging the liquidity gap until new revenues are realized.

Despite all the efforts, including the support of capital market advisors as well as engaging in direct discussions with potential investors, Argeo was not able to attract equity or other funding deemed necessary by the board for supporting a decision to continue its operations, thereby reaching a conclusion that a process to file for bankruptcy would be initiated.

Trond F. Crantz, the company’s chief executive officer (CEO) at the time, decided in April to step down from the role.