A $1.1 billion Singaporean takeover of MMA Offshore has been waved through by the Foreign Investment Review Board.
A $1.1 billion Singaporean takeover of MMA Offshore has been waved through by the Foreign Investment Review Board.
The offshore services company on Wednesday afternoon revealed the federal government body had no objections to the acquisition by private equity firm Seraya Partners, which owns offshore windfarm service provider Cyan.
Having cleared the FIRB threshold, the MMA takeover will go to a meeting on Monday to approve the deal.
MMA’s board has backed the takeover, which will deliver shareholders $2.70 per share sold.
The news comes hot on the heels of MMA Offshore’s biggest shareholders, Halom Investments and Thorney Opportunities, backing the takeover on Tuesday.
Cyan’s acquisition of MMA Offshore was first revealed in March and is a move that will more than double the Cyan fleet.
MMA’s workforce, clients and sites are expected to be retained under the deal.
The company has a major presence in the state’s north-west where most of Western Australia’s offshore oil and gas interests are held.
In March last year, MMA won a $30 million contract for cable installation and survey work on a Taiwanese offshore wind farm development.
One month prior to the takeover bid going public, MMA managing director David Ross was talking up strong demand for the firm’s services.
That came off the back of a $204.3 million half-year revenue, up 28 per cent from the previous corresponding period.
Mr Ross said at the time installation of more than 5,000 turbines in the Asia-Pacific region by 2031 and $US500 billion of greenfield oil and gas projects presented compelling opportunities for the sector.
More than half of MMA’s revenue was generated from outside of its traditional oil and gas markets.
Other interest areas include wind farms, defence, and decommissioning.
