Posted on 19.09.2012 - 07:50 EDT in ACQUISITION/MERGER NEWS by ginamc
Technip announced the completion of the Stone & Webster process technologies and associated oil and gas engineering capabilities acquisition.
This transaction, which was originally announced on May 21, 2012, creates a world-class downstream technology leader and will enable Technip to:
To make the most of these strengths, a new business unit, Technip Stone & Webster Process Technology, will be developed within the Onshore/Offshore segment.
Thierry Pilenko, Chairman and CEO, commented:
"I am delighted to welcome a high-skilled team into the Technip family. By combining our talents, strong portfolios and leading edge execution capabilities, we will further differentiate ourselves through first-class downstream technologies, offer unique products and services, and deliver greater value for both our customers and shareholders."
Technip paid cash consideration of around €225 million from existing cash resources, which will be subject to customary price adjustments.
As previously stated, there will be no material impact on 2012 full year revenues and operating income with unchanged estimates in transaction and integration costs. Looking forward, the acquired business should generate margins above those of the Onshore/Offshore segment, while having a more robust and lower risk earnings profile.