Oceaneering Acquires Grayloc Products
The Grayloc® brand, with over 50 years of history, is the recognized standard for clamp connectors by the oil and gas industry and is synonymous with quality and reliability. These clamps are used extensively in production manifold, flow line, and valve installations. With engineering and manufacturing locations in Texas and Scotland, Grayloc is the industry global market leader with an estimated 2004 market share of 45% to 50%.
During the last half of 2005 Oceaneering expects this acquisition to be accretive to net income in the range of $1.3 to $1.6 million. The acquired operations are anticipated to generate approximately $16.0 to $18.0 million in revenue and $3.0 to $3.5 million of operating income, after about $0.4 million of depreciation and amortization expense. In 2006, Oceaneering projects the incremental net income accretion to be $3.0 to $4.0 million.
John Huff, Chairman and Chief Executive Officer, stated, "We are very pleased to add Grayloc's connectors to our specialty, niche-market products offering to the oil and gas industry. The Grayloc® brand is the clamp explicitly specified for most projects in the U.S.
"We intend to retain the Grayloc management team, led by Gerald Marsh, and qualified work force intact as we jointly endeavor to grow clamp connector sales worldwide, develop synergies with our current pipeline connectors, and explore growth opportunities with the acquired technology.
"As a result of this acquisition, we are increasing our estimate of Oceaneering's 2005 EPS to a range of $1.95 to $2.20 from the $1.90 to $2.15 range included in our first quarter 2005 earnings press release."
- How Likely Is an All-Out War in the Middle East Involving the USA?
- Rooftop Solar Now 4th Largest Source of Electricity in Australia
- US Confirms Reimposition of Oil Sanctions against Venezuela
- Analyst Says USA Influence on Middle East Seems to be Fading
- EU, Industry Players Ink Charter to Meet Solar Energy Targets
- Russian Ships to Remain Banned from US Ports
- Brazil Court Reinstates Petrobras Chair to Divided Board
- EIB Lends $425.7 Million for Thuringia's Grid Upgrades
- Var Energi Confirms Oil Discovery in Ringhorne
- Seatrium, Shell Strengthen Floating Production Systems Collaboration
- An Already Bad Situation in the Red Sea Just Got Worse
- What's Next for Oil? Analysts Weigh In After Iran's Attack
- USA Regional Banks Dramatically Step Up Loans to Oil and Gas
- EIA Raises WTI Oil Price Forecasts
- How Likely Is an All-Out War in the Middle East Involving the USA?
- Venezuela Authorities Arrest Two Senior Energy Officials
- Namibia Expects FID on Potential Major Oil Discovery by Yearend
- Oil Markets Were Already Positioned for Iran Attack
- Is The Iran Nuclear Deal Revival Project Dead?
- Petrobras Chairman Suspended
- Oil and Gas Executives Predict WTI Oil Price
- An Already Bad Situation in the Red Sea Just Got Worse
- New China Climate Chief Says Fossil Fuels Must Keep a Role
- Oil and Gas Execs Reveal Where They See Henry Hub Price Heading
- Equinor Makes Discovery in North Sea
- Macquarie Strategists Warn of Large Oil Price Correction
- DOI Announces Proposal for Second GOM Offshore Wind Auction
- Standard Chartered Reiterates $94 Brent Call
- Chevron, Hess Confident Embattled Merger Will Close Mid-2024
- Analysts Flag 'Remarkable Feature' of 2024 Oil Price Rally