LONDON: Ashtead Technology Holdings plc (AIM: AT.), a leading subsea equipment rental and solutions provider for the global offshore energy sector, has reached an agreement to acquire Seascan Limited and its subsidiaries (otherwise known as Seatronics), along with its sister company, J2 Subsea Limited, an international subsea electronics and ROV tooling rental and services business for total consideration of £63m in cash.

Seatronics and J2 are owned by Acteon Group Operations (UK) Limited, which is majority owned by One Equity Partners LLC and Buckthorn Partners LLP. The acquisition will be funded by a £70m increase in the Group’s revolving credit facility (RCF).

Seatronics and J2 have operations in Singapore, UAE, UK and US, and have been part of the larger Acteon Group for over 10 years, providing subsea electronics and tooling products and services to the global offshore energy market.

Seatronics and J2’s core offering supports the installation, inspection, maintenance & repair, and decommissioning of subsea oil & gas and renewable energy infrastructure which is highly complementary to Ashtead Technology’s existing equipment and services portfolio.

The acquisition represents a compelling opportunity to grow the Group’s global Survey & Robotics capabilities, expanding its international footprint, enhancing the Group’s value proposition, and deepening customer relationships.

The acquisition will increase the breadth and depth of Ashtead Technology’s rental fleet, with an extensive pool of over 7,000 proprietary assets, and a highly skilled employee base of over 100 people, with significant domain knowledge and technical expertise.

Whilst Seatronics and J2 have traditionally been focused on oil & gas, their rental fleets are fungible across oil & gas and renewables end markets.

Allan Pirie, Chief Executive Officer of Ashtead Technology, commented: “Seatronics and J2 are businesses we have known for a long time.  With our most recent acquisitions focussing on expanding our mechanical services capability, this latest acquisition strengthens our international footprint and capability within our traditional Survey & Robotics business.

The transaction continues to reinforce our strategy of expanding our internationally mobile and fungible fleet of equipment, and deepening customer relationships across both our oil & gas and renewables markets.  We look forward to welcoming new colleagues to the Ashtead Technology team and increasing the wealth of in-house expertise as a larger Group”.

Brice Bouffard, Chief Executive Officer of Acteon, added: “Upon closing, this transaction will be the next important step in focusing our service portfolio to achieve Acteon’s long-term strategic goals. Seatronics and J2 have been an integral part of our business for many years and the teams have consistently worked very closely together over that time.  I’m very pleased to see both teams moving together to such a dynamic new home at Ashtead Technology.

I am confident that both businesses will continue to grow and provide exceptional value to their global customers under Ashtead Technology’s ownership.  I wish the teams at Seatronics and J2 success with Ashtead Technology and I thank them for their dedication over the years and especially during recent months.  Acteon is committed to optimising our portfolio to better serve our customers and stakeholders as we support the dynamic offshore energy market”.

Seatronics and J2 are global businesses with almost 55 per cent of revenue generated outside of Europe, supported by locations in Houston, Abu Dhabi, and Singapore. The Acquisition is Ashtead Technology’s ninth acquisition in the last seven years.