New Aker Company to Focus on Subsea Well Intervention

Aker, Aker Kværner, and Aker Yards have joined forces to establish the company Aker Innovation. By exploiting the industrial and financial expertise of its three owners, Aker Innovation will identify new industrial projects that it will develop into profitable companies.

Aker Innovation is currently developing several potential projects. Together with the listed company DOF Subsea, Aker Innovation has identified interesting opportunities within subsea well intervention services for deepwater offshore fields, and is planning to establish a new company Aker Oilfield Services.

The planned new company will be a leading subsea well intervention company. According to current plans, Aker Kvaerner would deliver complete well access and control equipment and services in addition to complete wireline well intervention equipment and services. DOF would deliver marine crew and other operational services. Aker Yards would design and construct the state of the art well intervention vessels. Further details of Aker Oilfield Services will be announced at a later stage.

Value creation in Aker Innovation

"With the establishment of Aker Innovation we are creating a vehicle for the long-term, industrial cooperation among Aker, Aker Kværner, and Aker Yards that we have called Aker's value-creating triangle," said Leif-Arne Langoy, Aker Board Chairman and President and CEO.

The two listed companies Aker Drilling and Aker Floating Production, which have a combined market capitalization of nearly NOK 4 billion, are the direct outgrowth of the industrial cooperation that Aker Innovation is tapping. Through their joint ownership of Aker Innovation, all three founders: Aker, Aker Kværner, and Aker Yards will receive future ownership interests in the new projects and companies that are developed. As in the past, the companies in Aker's value-creating triangle can supply expertise and technology to new projects.

Aker owns 67 percent of Aker Innovation, while Aker Kværner and Aker Yards each own 16.5 percent of the company. The founding companies' capital contributions to Aker Innovation will be determined by the company's capital needs for future projects.

Aker Innovation's Board of Directors comprises the following members: Leif-Arne Langoy, Bengt A. Rem, and Nils Are Karstad Lyso of Aker's group management; Aker Kværner's President and CEO Martinus Brandal; and Aker Yards' President and CEO Karl Erik Kjelstad.

Aker Yards ASA is an international shipbuilding group focusing on sophisticated vessels. The group has a strong position both in terms of innovation, product range, technology, experience and capacity. The product range includes cruise vessels & ferries, merchant vessels, offshore & specialized vessels. Aker Yards comprises 17 yards in Brazil, Finland, France, Germany, Norway, Romania and Ukraine. Aker Yards has approximately 20,000 employees.

Aker Yards is part of the Aker Group, a leading multi-industry powerhouse with more than 55,000 employees in 45 countries and EUR 10 billion revenues. Aker owns 40.1 percent of Aker Yards, and the group is also a significant participant in the oil & gas business as well as the fisheries industry.