Shearwater GeoServices Holding AS today announced the completion of the acquisition of the marine seismic acquisition assets and operations of WesternGeco, the geophysical services product line of Schlumberger. The transaction was completed following receipt of relevant regulatory approvals and satisfaction of customary closing conditions.
The acquisition and related transactions were executed in accordance with the 22 August 2018 announcement. Following the completion, Shearwater has three strong and competent owners with RASMUSSENGRUPPEN AS holding 65%, GC Rieber Shipping ASA 20% and Schlumberger 15%.
The transaction makes Shearwater a global, customer-focused and technology-driven provider of marine geophysical services, which owns and operates a fleet of 14 fully equipped seismic vessels offering a full range of acquisition services including 3D, 4D and ocean bottom seismic. The company also holds a portfolio of proprietary streamer technology and processing software enabling effective execution of geophysical surveys and delivery of high-quality data. Shearwater has close to 600 employees and operates in all major offshore basins around the world.
"Shearwater has become a leading global marine seismic services provider with a strong financial platform able to deliver exceptional customer solutions", says Einar Ytredal, the CEO of GC Rieber Shipping. "We are pleased to have been instrumental in developing yet another market leading company at the same time as we create value for our shareholders."
The total cash funding requirement for the transaction was USD 650 million, which was funded by USD 325 million in new cash equity from existing owners and USD 325 million of debt financing. GC Rieber Shipping subscribed for USD 28.5 million of new equity in Shearwater in connection with the acquisition and has entered into a short-term shareholder loan at market terms with GC Rieber AS, GC Rieber Shipping`s largest shareholder, to facilitate settlement. The shareholder loan will be refinanced by the fully underwritten rights issue announced 6 November 2018.
The USD 7.5 million cash deposit provided by GC Rieber Shipping when establishing Shearwater in 2016 has been released following the transaction and will no longer be classified as restricted cash.
A separate press release from Shearwater is enclosed.
Source: GC Rieber Shipping