Norway: AF Group Signs LoI to Acquire Shares in 5D Group
AF Group has signed a letter of intent to purchase 90 percent of the shares in 5D Group AS. The agreement is conditioned by a due diligence and an approval by the board of directors of AF Gruppen ASA.
5D Group is a supplier to the offshore industry, mainly within engineering, electrical and instrumentation as well as steel constructions. 5D Group is localized in Arendal, Brevik, Kristiansand and Karmøy and the company has 60 employees. 5D Group had a turnover of NOK 73 million in 2011.
The AF Group has been providing services to the offshore industry for a number of years, both within construction, decommissioning and energy. 5D Group will become part of the AF Group’s long-term plan of becoming a major supplier of EPCIC (Engineering, Procurement, Construction, Installation & Commissioning) contracts. 5D Group will be a part of the business area Energy.
“The AF Group has been focusing on the offshore market for a number of years. By combining 5D Group’s offshore engineering competence with our own competence, we are laying a foundation for developing more integrated and customer-oriented solutions for the oil and gas market,” says Pål Egil Rønn, CEO of the AF Group.
Subsea World News Staff , April 16, 2012; Image: 5D Group