HOUSTON -- McDermott International Inc. subsidiary J. Ray McDermott, S.A. has signed an agreement to purchase all of the assets of Secunda International Ltd. The purchase includes 14 harsh-weather multi-functional vessels with capabilities that include subsea construction, pipelay, cable lay, and dive support, along with Secunda's shore base operations. The purchase price is approximately $260 million.
Secunda has owned and operated construction, installation and support vessels for 24 years. The company's vessels are operating in the US and Mexican Gulf of Mexico, the North Sea, and Atlantic Canada. The purchased vessels conclude existing charter contracts. As a result, J. Ray plans to integrate certain of these assets in its current and potential markets to expand project capabilities, improve resource flexibility, and provide additional services.
"Secunda's assets, and importantly its people, will be a complementary and strategic addition to J. Ray's offshore capabilities," says Bob Deason, J. Ray president and COO. "With Secunda, J. Ray strengthens its traditional offshore construction business, increases the number of activities which can be self-performed, enhances our ability to utilize existing marine assets for higher value activities, and additionally, supports its growing subsea development activities."
J. Ray's acquisition is contingent upon obtaining regulatory approval in Canada and the US and final due diligence. The transaction is expected to close early in 3Q 2007.