Teekay Offshore to acquire ALP

OE Staff
Friday, February 21, 2014

Teekay Offshore Partners L.P. has agreed to acquire ALP Maritime Services B.V., a Netherlands-based provider of long-haul ocean towage and offshore installation services to the global offshore oil and gas industry. ALP currently provides these services through a fleet of third-party owned vessels.

As part of the transaction, Teekay Offshore and ALP have ordered four state-of-the-art towing and anchor handling vessel newbuildings, which will be capable of ultra-long distance towing, offshore installation and decommissioning of large FPSO units, FLNG units and floating drill rigs.

Transaction Summary

  • Teekay Offshore and ALP have entered into an agreement with Niigata Shipbuilding & Repair of Japan for the construction of four state-of-the-art SX-157 Ulstein Design ultra-long distance towing and anchor handling vessel newbuildings, which will be equipped with dynamic positioning capability, for a fully built-up cost of approximately $260 million, which includes the cost of acquiring ALP.
  • The partnership intends to finance the ALP acquisition and initial newbuilding payments through its existing liquidity and expects to secure long-term debt financing for the vessels prior to their deliveries in 2016.

"The strong fundamentals in offshore oil and gas, combined with the large orderbook of floating offshore assets including FPSOs, FLNGs and drill rigs, are expected to result in strong demand for the services of long-haul towing and anchoring handling vessels," Peter Evensen, CEO of Teekay Offshore said. "We believe ALP's operational capabilities and customer relationships in the growing long-haul ocean towage and offshore unit installation segment is a natural complement to Teekay Offshore's existing offshore project offering, which will provide the Partnership with another channel for accretive cash flow growth."

The proposed acquisition is expected to close during 1Q 2014, and has been approved by the Teekay Offshore and ALP boards of directors, and remains subject to customary closing conditions. Teekay Offshore and ALP were advised on this transaction by ABN AMRO Bank N.V.

Categories: Vessels Activity

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