Dutch firm Boskalis has signed a letter of intent (LOI) to acquire offshore activities from VolkerWessels.
Under the offer, Boskalis will acquire maritime and offshore wind energy related activities of VolkerWessels, namely VBMS, Stemat and VSI (Volker Stevin International).
Peter Berdowski, CEO Boskalis, said: "For many years we have been working closely and constructively together with VolkerWessels both on- and offshore. Over the last couple of years, we jointly increasingly targeted offshore wind opportunities and together acquired and completed projects successfully.
"For the coming years, we expect demand for offshore wind energy to further increase both in Northwest Europe and beyond. We are therefore very enthusiastic that we can incorporate these activities into Boskalis for the full one hundred percent. Combining these with our other maritime activities will create new opportunities for market and cost synergies. This is a logical and desirable step for Boskalis in its strategy aimed at strengthening its offshore service proposition."
Boskalis, traditionally a dredging contractor, has expanded through acquisition in recent years, buying salvage firm SMIT and heavy transport firm Dockwise. It also has a large stake in survey firm Fugro.
Boskalis and VolkerWessels have been working together for a number of years in the offshore wind energy market. VBMS, a 50/50 Boskalis - VolkerWessels joint venture, works in cable installation and has a strong market position and well-filled order book. As a consequence of this transaction, Boskalis will acquire the remaining 50% share in VBMS. Stemat has a global offering of specialized vessels including a cable laying vessel and multi-purpose vessels. VSI is specialized in the construction of offshore foundations and maritime constructions.
Late 2014 and mid-2015, Boskalis and VSI in joint venture won two large offshore wind park project contracts: Wikinger and Veja Mate. As a consequence of this transaction, Boskalis will execute these two projects on a 100% basis.
The current annual revenue, excluding the two offshore wind park projects, amounts to approximately EUR 200 million with an EBITDA of approximately EUR 30 million. The pro forma impact on the Boskalis order book as per year-end 2015 is more than EUR 600 million, of which more than EUR 200 million is attributable to the two offshore wind park projects that are currently being executed.
It is the intention to close this transaction in the second quarter of 2016 subject to the satisfaction of customary conditions and with an effective date of 1 January 2016.