MARINE services company James Fisher and Sons announced it has acquired the entire share capital of South African marine and subsea services company Subtech Group Holdings.
James Fisher will initially pay 61 million rand plus a potential future consideration of up to 175 million rand, based on the company achieving profit targets in 2015 and 2017.
There is an additional profit share above target levels up to a maximum of 85 million rand between 2015-2017, the company said.
In its announcement, James Fisher said the company had a strong reputation for reliable and timely completion of marine construction projects, submarine pipeline installation and maintenance, specialised marine engineering projects and diving and salvage.
It was well positioned to take advantage of any future expansion of oil and gas activities in East and West Africa, James Fisher said, with the currently conducting activities in Mozambique, Namibia, Angola and Tanzania.
James Fisher chief executive Nick Henry said the acquisition broadened its presence in the growing markets around Africa.
“Subtech’s marine and subsea services are very complementary to our own. We are looking forward to working together with the Subtech team,” he said.
Subtech chief executive Greg Raaff and his senior management team will all continue with the company, James Fisher said.
Mr Raaff said the company was excited by the acquisition.
“With our close synergies to many of Fisher’s current services and group companies, as well as our geographic footprint, we look forward to enhancing our current market offering and to being an ideal shop front for the Group’s services into Southern Africa.”