Funds advised by Triton have entered into an agreement to acquire Cubility AS, a Norwegian oil services company with unique technology to meet the needs of the next generation of drilling operations, from Energy Ventures for an undisclosed sum.
The Sandnes-based company is a promising player in the global oil services industry, and has developed MudCube, an award winning, innovative solids control and waste management system for drilling operations. MudCube provides cost savings for the oil industry through reduced mud, waste and chemicals consumption and increased automation, as well as significant Health, Safety and Environment improvements.
MudCube is already highly regarded by the oil industry and was designated a Proven Technology by Statoil in 2012. Its clients, among others, include Maersk Drilling, Statoil, Dong, Talisman, Saipem and Chevron. The technology has been rapidly adopted across several geographies.
“The MudCube generates significant benefits for both rig companies and operators, both offshore and onshore. Conceptually not much has changed for the last 100 years in the niche market we operate in. Now, we have managed to introduce a completely new technology. The Triton acquisition brings in industrial experience and financial strength to the company, enabling us to access and support a larger portion of the market,” says Even Gjesdal, Cubility CEO.
“Cubility’s technology is impressive, and I believe we have only seen the beginning of its commercial breakthrough. We look forward to supporting Cubility in its effort to grow its market and business over the coming years,” says Dag W.R. Strømme, advisor to Triton.
“Cubility represents a classic Energy Ventures investment where we together with founders, management, customers and co-investors have been able to develop and commercialize a truly game changing technology. We are confident Cubility will grow into a significant player in the international oil service market in the years to come,” says Kjell E. Jacobsen, partner in Energy Ventures. Cubility is Triton’s first oil service investment and marks the second Triton investment in Norway in nine months, following last summer’s acquisition of Infratek, a leading Nordic player within critical infrastructure.
“Cubility is an innovative company with an exciting and proven technology. Triton has extensive experience of helping businesses to accelerate their development, and we look forward to working with CEO Even Gjesdal and his team to help Cubility achieve its potential. Norway is one of our core geographies, and we will be looking to buy more Norwegian businesses in the years to come. In Cubility, as in all other businesses we enter, we will be a responsible owner and an agent of positive change,” says Peder Prahl, Managing Partner of Triton.
The completion of the share purchase is expected to take place mid-April.
Alpha Corporate Finance has acted as financial advisor to Cubility and its shareholders in the transaction. Triton has been advised by Advokatfirmaet Selmer and EY.
Press Release, March 25, 2014