Economy

Proposed acquisition of Valerus Field Solutions

Kentz will acquire Valerus Field Solutions for $435 million.

Kentz
09/12/2013 13:43
Visualizações: 1314 (0) (0) (0) (0)

 

Kentz said on Monday it had agreed to acquire U.S.-based Valerus Field Solutions for $435 million in cash, to expand its engineering capability and presence in Latin America. Kentz, a specialist construction company focused on oil and gas, mining and infrastructure, which was itself a takeover target earlier this year, had long said it wanted to grow its engineering arm in order to bid for more engineering, procurement and construction (EPC) contracts. 
"We've found a very strong and agile business with a strong culture that fits our own, so we're pleased to have found it," Kentz Chief Executive Chris Brown told Reuters. Brown said the acquisition would give Kentz access to the U.S. market for both conventional oil and shale, as well as to Latin America, with Valerus established in Venezuela, Colombia and Mexico. The deal adds about 700 people to Kentz's 14,500 employees with a focus on expansion rather than synergy savings. "There's very little if any integration necessary here ... no synergies (are) needed to make the deal work," Brown said. 
Valerus made core earnings (EBITDA) of $51.5 million on revenue of $492.9 million last year, Kentz said in the statement. The firm added the acquisition was expected to be earnings enhancing within the first full financial year of ownership and should be completed shortly after a shareholder meeting on Jan. 2.

Kentz said on Monday it had agreed to acquire U.S.-based Valerus Field Solutions for $435 million in cash, to expand its engineering capability and presence in Latin America. Kentz, a specialist construction company focused on oil and gas, mining and infrastructure, which was itself a takeover target earlier this year, had long said it wanted to grow its engineering arm in order to bid for more engineering, procurement and construction (EPC) contracts. 


"We've found a very strong and agile business with a strong culture that fits our own, so we're pleased to have found it," Kentz Chief Executive Chris Brown told Reuters. Brown said the acquisition would give Kentz access to the U.S. market for both conventional oil and shale, as well as to Latin America, with Valerus established in Venezuela, Colombia and Mexico. The deal adds about 700 people to Kentz's 14,500 employees with a focus on expansion rather than synergy savings. "There's very little if any integration necessary here ... no synergies (are) needed to make the deal work," Brown said. 


Valerus made core earnings (EBITDA) of $51.5 million on revenue of $492.9 million last year, Kentz said in the statement. The firm added the acquisition was expected to be earnings enhancing within the first full financial year of ownership and should be completed shortly after a shareholder meeting on Jan. 2.

 

Most Read Today
see see
Fenasucro
Future Fuel consolidates Brazilian pioneering role and b...
20/05/26
Partnership
Radix partners with Repsol Sinopec Brasil and PUCRS to c...
20/05/26
Communication
The behind-the-scenes story of communication and adverti...
20/05/26
Result
Total oil production under production-sharing regime hit...
20/05/26
BOGE2026
Global geopolitics’ impact on the local oil sector to be...
19/05/26
International Women's Day
IBP celebrates International Women at Sea Day and reinfo...
19/05/26
Pre-Salt
Mero Field in the Santos Basin Pre-Salt Receives Unprece...
14/05/26
Results
Petrobras reports net profit of R$ 32.7 billion in the f...
14/05/26
Partnership
Halliburton and Shape Digital establish strategic collab...
06/05/26
ROG.e 2026
ROG.e 2026 will bring together CEOs from TotalEnergies, ...
06/05/26
International
At OTC Houston 2026, Firjan SENAI SESI expands its reach...
06/05/26
International
At OTC Houston 2026, Firjan SENAI holds international ed...
04/05/26
Recognition
BRAVA Energia receives top global industry award for Atl...
04/05/26
International
Brazil reaffirms technological leadership at OTC Houston...
04/05/26
Pre-Salt
PPSA closes 2025 with a net profit of R$ 30.1 million
04/05/26
Results
With 5.531 million boe/d, Brazil continues with record o...
04/05/26
International
Brazil reaffirms technological leadership at OTC Houston...
02/05/26
Environment
Brazil appears among world's largest methane emitters in...
30/04/26
PPSA
Federal Government receives R$ 917.32 million from Tupi ...
07/04/26
Study
Brazil increases dependence on thermal power, but lack o...
07/04/26
Permanent Offer
Permanent Production Sharing Offer (OPP): ANP publishes ...
07/04/26
VEJA MAIS
Newsletter TN

Contact us

We use cookies to ensure you have the best experience on our website. If you continue to use this site, we will assume that you agree with our Privacy Policy, terms of use and cookies.