Gulf Oil and Gas accountACCOUNT

Purchase of Remaining Shares in Songa Eclipse Limited

Source: www.gulfoilandgas.com 7/25/2011, Location: Europe

Reference is made to the press releases sent out by Songa Offshore SE on 24 March 2010 and 25 January 2011 regarding its ownership in Songa Eclipse Limited (Songa Eclipse). Songa Eclipse Limited owns a 6th generation Friede & Goldman ExD ultra-deepwater semi-submersible drilling rig under construction at Jurong Shipyard Pte Ltd, Singapore with scheduled delivery in August 2011.

Songa is pleased to announce that it has entered into an agreement with the minority shareholders in Songa Eclipse to acquire the remaining 48.1% stake, following which Songa will have obtained 100% ownership. The transaction is expected to be completed at delivery of the Rig, subject to inter alia Songa securing the necessary take-out financing. The sellers of the shares are sub-funds of Sector Umbrella Trust managed by Sector Omega ASA (35.1%) and Pareto World Wide Offshore AS (13.1%). Under the terms of the agreement, Songa will acquire the shares for USD 65 million as well as a conditional bonus payment to be made within 18 months from delivery of the Rig. The conditional bonus payment will be calculated on the basis of the Rig's fair market value at the time of notice by the Seller less the purchase price already paid by Songa. This new agreement enables Songa to optimize the financing of Songa Eclipse as a 100% owner, and replaces the current agreement between Songa and the Sellers, as described in the press release sent out by Songa on 24 March 2010. Songa is in the process of financing the rig with its existing banking group, and expects to get this in place prior to delivery of the Rig.

Through this transaction, Songa has obtained full ownership of its first modern ultra-deepwater semi-submersible Rig and should be seen as part of the Company's overall strategy to renew its fleet. Songa has been able to secure this position within 16 months from the initial investment, with a gradually increasing ownership. The weighted average total rig cost for Songa before the remaining bonus payment is estimated to be USD 660 million.

Mergers and Acquisitions News in Norway >>

Mexico >>  2/21/2019 - Nu-Oil & Gas has announced that Marginal Field Development Company ('MFDevCo'), the Company's 50%-owned joint venture, has entered into an agreement w...
United Kingdom >>  2/20/2019 - Private equity firm HitecVision is seeking to sell its British North Sea oil and gas production unit Verus Petroleum, which last year completed a stri...

United Arab Emirates >>  2/19/2019 - Rockwell Automation, the world’s largest company dedicated to industrial automation and information, and Schlumberger, the world's leading provider of...
France >>  2/18/2019 - Total has acquired Synova, a French leader in manufacturing high-performance recycled polypropylene for the automotive sector. ...

Netherlands Antilles >>  2/15/2019 - Shell has agreed to acquire 100% of sonnen, a leader in smart energy storage systems and innovative energy services for households. This follows an in...
United Kingdom >>  2/15/2019 - Rowan Companies plc (RDC) has received clearance from the United Kingdom's Competition and Markets Authority for its pending combination with Ensco pl...

Related Categories: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Industrial Development  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Related Articles: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Insurance  Investment  Mergers and Acquisitions  Risk Management 


Norway Oil & Gas 1 >>  2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 24 | 25 | 26 |

More News

Related Links

00 AL AT BE BG CH CY CZ DE DK ES FI FR GR HR HU IE IT NL NO PL PT RO SE SI TR UK
Gulf Oil and Gas
Copyright © Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.