Highlights of the Week
- Business & Finance
Subsea World News has put together a recap of the most interesting articles from the previous week (December 18 – December 24).
According to Subsea 7, a substantial contract is worth between USD 150 million and USD 300 million.
The engineering, procurement, construction and installation (EPCI) contract will see Subsea 7 provide pipeline bundle technology, which contains all flowlines and control umbilicals necessary for operation.
As previously disclosed, the company has reached an agreement with its key lenders and shareholders to eliminate its entire $1.4 billion of funded debt and $80 million in annual interest payments through an equity conversion, which will fully deleverage its balance sheet.
Upon completion of the transaction, McDermott shareholders will own approximately 53 percent of the combined company on a fully diluted basis and CB&I shareholders will own approximately 47 percent.
The estimated enterprise value of the transaction is approximately $6 billion, based on the closing share price of McDermott on December 15, 2017.
Operating from base in Aberdeen, Scotland, managing director Mike Daniel leads the Global Offshore team.
Global Offshore’s assets include the M/V Symphony multi-purpose vessel, two Q1400 jet trenchers and two work class remotely operated vehicles (ROVs).
The contract follows from Statoil’s announcement about submitting the plan for development and operation of the Snorre Expansion Project to Norwegian authorities.
In addition Statoil said it awarded NOK 9 billion worth of contract for the development, including the contract awarded to TechnipFMC.