UK support services company, Interserve, will jointly acquire Willbros Middle East Limited and its subsidiaries for a total of $41.3m.
The acquisition will include Willbros’ foremost subsidiary The Oman Construction Company (TOCO), in which Interserve will own an 85% stake with its Omani partner owning the remaining 15% stake.
The acquisition will expands Interserve’s position in Oman, a key growth market which offers approximately $2.5 billion worth of oil, gas and power contracts per annum, through a broad suite of Engineering, Procurement and Construction (EPC) and maintenance services offered to international oil companies both in Oman and across the region.
“Interserve sees the Middle East oil and gas sector as a key growth market and this acquisition further develops our presence in the region,” said Adrian Ringrose, CEO of Interserve. “As part of Interserve, we believe TOCO’s growth will be accelerated through innovation, enhanced business development and a number of operational efficiencies.”
The acquired gross assets of the subsidiaries amount to around $31 million, including $4 million in cash. The company’s unaudited pre-tax profits of the subsidiaries for the 10 month period to the 31 October 2012 were around $6 million.
