Two of Europe's leading investors, 3i and ABN AMRO Merchant Banking are between them investing £53 million ($104m) in Aberdeen-based TSMarine (Contracting) Ltd.
In less than four years, TSMarine has established itself as a leading player in the niche subsea rigless intervention and decommissioning market on a global basis. With an estimated 2007 turnover of £55 million and over 120 employees worldwide, TSMarine offers a range of rigless well intervention, decommissioning and construction support solutions to the global subsea oil and gas industry.
The investment underlines the confidence in TSMarine's growth prospects in the rapidly expanding subsea oil and gas sector, which was worth a reported $33 billion in 2007 and is expected to grow to over $41 billion in the next four years.
"Attracting investment from two leading financial players is a major coup for TSMarine and will allow us to fast-track our ambitious international growth strategy, which has already seen us realise 50% of our revenues from overseas business in 2007," CEO of TSMarine Alasdair Cowie said. "Global expenditure in subsea decommissioning and rigless intervention is forecast to rise by 170% over the next eight years. Key to our ability to tackle the expansion in this market is access to high specification assets that meet current and future industry demands."
"This is demonstrated through our recent investment in new-build vessels and specific rigless intervention and decommissioning operating systems, designed especially for this niche sector," he said. "In 2007 ABN AMRO Bank provided the £130 million debt facility to finance the ongoing vessel build programme in Spain, with the two vessels due to join the current fleet in 2009."
Colin Burnett, Director of 3i's Oil, Gas & Power team and Bruce Roe, Managing Director at ABN AMRO will join the board of TSMarine. TSMarine's advisers in the deal were Simmons & Co and Maclay, Murray, Spens.
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