Highlights of the Week

Subsea World News has put together a recap of the most interesting articles from the previous week (October 09. – October 15).

Baker Hughes, a GE company, reportedly held talks with the London-based offshore engineering, construction and services player Subsea 7 about a possible acquisition.

According to Wall Street Journal, people familiar with the matter said that talks between the two companies recently broke down over price.

Wood Group has completed the acquisition of Amec Foster Wheeler.

Robin Watson, chief executive of Wood Group, said: “This transformational acquisition creates a global leader in the delivery of project, engineering and technical services to energy and industrial markets.

OneSubsea has been awarded a contract by Reliance Industries for engineering, procurement and construction of the subsea production system for the R Cluster Project, offshore the east coast of India.

The scope of this project includes trees, subsea manifolds, control system, tie-in system, multi-phase meters, intervention tooling and test equipment for the R Cluster field.

WorleyParsons said it has entered into a binding agreement to acquire Amec Foster Wheeler (AFW) for an enterprise value of £182 million (A$303 million), pre-adjustments for surplus working capital and cash in the AFW UK business.

The combination of the acquisition and the entitlement offer is expected to be EPS accretive in the first year of ownership (pre-synergies, transaction costs and acquisition related amortisation).

Global Marine Group (GMG) has entered into an agreement to acquire Fugro’s trenching and cable lay services business.

The purchase consideration, valued at approximately $73 million, consists of the issuance to a subsidiary of Fugro of a 23.6% equity interest in Global Marine Holdings, valued at US$65 million, and an obligation of Global Marine to pay Fugro US$7.5 million within one year pursuant to a secured vendor.