A subsidiary of US-based engineering services company Oceaneering International has acquired Scottish offshore engineering firm Ecosse Subsea (Ecosse) for about £50m.
Headquartered in Aberdeen, Ecosse also offers seabed preparation, route clearance and trenching services to the renewable energy and oil and gas industries.
The trenching tools will be used for submarine cables and pipelines on an integrated basis that includes vessels, remotely operated underwater vehicles (ROVs) and survey services.
With the acquisition, Oceaneering‘s subsidiary will be able to access Ecosse’s modular SCAR Seabed System, which is capable of completing the entire trenching work scope, including route preparation, boulder clearance, trenching and backfill.
The subsidiary will also be benefitted by Ecosse’s newly developed SCARJet, an evolutionary trenching system, designed for use with standard work class ROVs and adds jetting and post-lay trenching capabilities to the existing pre-cut methods offered by the SCAR plowing tools.
Oceaneering president and chief executive officer Roderick Larson said: “We are pleased to complete the acquisition of Ecosse, which we believe offers Oceaneering the opportunity to expand our service line capabilities and grow our market position within the offshore renewable energy market, and provide our customers with proven tools to optimise installation projects.
“The addition of Ecosse reflects our commitment to expand into the adjacent renewable energy market to more comprehensively serve the offshore energy industry. We expect the acquisition to be accretive to Oceaneering’s 2018 cash flow and earnings.”
Oceaneering noted that the acquisition will allow it to expand into the growing and emerging renewables and cable markets in Europe and the US.
Ecosse former Chairman Mike Wilson said: “This is a strategic opportunity for our customers and our employees. Oceaneering has outstanding people, a global presence, innovative technologies and diversified services and products.
“Together we can establish a stronger platform to take on even larger and higher-profile projects in the renewables and oil and gas industries.”
According to Oceaneering, the company intends to report the future financial results of Ecosse through its Subsea Projects segment.