Fugro is set to cash in close to USD 40 million from the sale of Global Marine Group (GMG) through its ownership of 23.6% in GMG.
As reported earlier, a subsidiary of Global Marine Holdings, in which Fugro holds a 23.6% equity interest, has entered into a definitive agreement to sell 100% of GMG, excluding GMG’s 49% joint venture with Huawei Marine Networks, to an investment affiliate of J.F. Lehman & Company (JFLCO) for approximately USD 250 million in cash.
Mark Heine, Fugro CEO, said: “I am very pleased with this transaction, which has been very professionally led by the GMG management. It is an important step towards monetising our non-core activities. This divestment will enable us to focus further on our core business and deliver on our Path to Profitable Growth strategy.”
To remind, Fugro, through Global Marine Group, also has stake in Huawei Marine Networks, whose 49% stake was sold to Hengtong Optic-Electric in a transaction that values Fugro’s stake in HMN at approximately USD 33 million.
Fugro said that its share of the net proceeds from the divestment of its stake in GMG and HMN is approximately USD 73 million in total and that it will be utilised to reduce the company’s outstanding debt position.