Actuant Corporation signed today a definitive agreement to acquire Viking SeaTech (“Viking”). The purchase is subject to customary regulatory approvals and closing conditions, and is expected to be completed within 45 days. The approximately £150 million ($225 million) purchase price will be funded from the Company’s cash and revolving credit facility, and excludes potential future performance related consideration. Viking generated approximately $90 million in revenue in the past twelve months.
Headquartered in Aberdeen, Scotland, Viking is an offshore support specialist providing a comprehensive range of equipment and services to the offshore oil and gas industry. Viking serves customers globally with its primary markets in the North Sea (U.K. and Norway) and Australia. The majority of Viking’s revenue is derived from offshore vessel mooring solutions which include design, rental, installation and inspection. Viking also provides survey, manpower and other marine services to offshore energy asset owners.
Commenting on the transaction, Robert C. Arzbaecher, Chairman and CEO of Actuant stated, “Viking represents a great addition to Actuant’s energy platform and will be included within the Energy segment. Its leadership position in the largest offshore regions, strong technical competency and solid management team have allowed Viking to generate above average growth and margins. Given positive energy dynamics that support offshore development and production around the globe, notably new finds and redevelopment of current fields where Viking’s customized mooring solutions are well suited, as well as Actuant’s ability to expand Viking’s presence on a global scale, we expect this growth to continue. Viking’s revenue mix includes product, rental and service components, similar to Actuant’s existing energy businesses. Bill Bayliss, President of Viking, along with his leadership team have done an outstanding job positioning Viking as a premier subsea services firm and we look forward to them joining the Actuant organization.”
Actuant Corporation, August 2, 2013; Image: Viking SeaTech