Vallianz Holdings, a Singapore-based owner of offshore support vessels, is eyeing expansion in Indonesian offshore vessels market.
The company has reached an agreement to buy a 49 percent share in Indonesia’s PT Swiber Berjaya (PTSB), an Indonesian owner of offshore support vessel fleet, from Swiber Holdings Limited. Vallianz will pay around $17.5 million for the acquisition.
The remaining 51% in PTSB will continue to be held by PTSB’s Indonesian shareholder.
According to a statement by Vallianz, PTSB owns and charters offshore vessels comprising mainly Anchor Handling Tug vessels, Anchor Handling Tug Supply, Flat Top Barges (“FT Barges”) and Accommodation Work Barges (“AWB”). The company also plans to expand its fleet by additional four vessels.
Vallianz has explained that the acquisition will enable it to tap the robust demand in the cabotage protected Indonesian OSV market and strengthen its market position.
Chief Executive Officer of Vallianz, Darren Yeo said, “This is a major step forward for the Group. PTSB is an established OSV operator with a strong track record. The Acquisition provides Vallianz with a platform to gain immediate access to the cabotage-protected OSV market in Indonesia, and will enable us to ride on the burgeoning prospects of the country’s offshore oil and gas market. In addition to generating a new source of income, the Acquisition will also increase the geographical diversity of the Group’s earnings base.”
Chief Executive Officer and President of Swiber, Francis Wong said: “This deal makes good business sense for all parties. With its management expertise and wide network in the global OSV markets, we are confident that Vallianz will provide the impetus for PTSB to build and strengthen its market position in Indonesia.
“As a major shareholder of Vallianz, Swiber stands to benefit from Vallianz’s and PTSB’s future growth. At the same time, Swiber can continue to offer its customers a complete and integrated suite of offshore construction and support services through its group of companies.”
The completion of the transaction is subject to the approval of Vallianz’s shareholders.