Oceaneering to acquire C & C TechnologiesCompany News // March 3, 2015
Oceaneering International has entered into a definitive agreement to acquire C & C Technologies, a privately-held provider of survey services, for approximately US$230 million in cash.
Headquartered in Lafayette, Louisiana, C&C is a leading provider of ocean-bottom mapping services in deepwater utilizing customized autonomous underwater vehicles and provides marine construction surveys for both surface and subsea assets, as well as satellite-based positioning services for drilling rigs and seismic and construction vessels. C&C also provides land and near-shore survey services along the US Gulf Coast and in Mexico, and performs shallow water conventional geophysical surveys in the US Gulf of Mexico.
The transaction is due to be completed in early April 2015, subject to customary closing conditions. In the 12 months following closing, Oceaneering expects the acquired business to generate US$20 million to US$30 million of EBITDA, before integration costs, and to be accretive to earnings.
Oceaneering plans to include C&Cís financial results in its subsea projects segment.
Kevin McEvoy, President and Chief Executive Officer, of Oceaneering, said:"We are pleased to have entered into an agreement to acquire C&C, as we believe this transaction is a unique opportunity to strategically expand our service line capabilities and underwater service offerings.
"C&Cís services are used in all of the major phases of an offshore field life cycle, particularly in exploration and development, and are highly complementary with Oceaneeringís products, services, capabilities and areas of expertise. Benefits we anticipate include: increased use of our remotely operated vehicles and vessels to support survey services; enhancement of our ability to secure subsea asset integrity work on pipelines, including x-ray and ultrasonic inspections, which could pull through additional demand for tooling and pipeline repair systems; and increased demand for our video and data solutions service."
Oceaneering also announced that Thomas Chance, co-founder and President of C&C, has agreed to remain with the company for at least a year, to facilitate a smooth transition. He will assist in assimilating C&Cís business into Oceaneering and developing a plan for growth that takes advantage of Oceaneeringís existing service line capabilities to provide integrated solutions for customers.