Marubeni Buys PE-Backed Seajacks

Japan’s Marubeni Corp. and Innovation Network Corp. of Japan, a state-sponsored fund, have agreed to buy offshore services company Seajacks International from private equity firm Riverstone Holdings. Terms of the deal were not released. The deal is expected to close in April.

PRESS RELEASE

Marubeni Corporation (TYO: 8002), one of the largest Japanese trading companies, Innovation Network Corporation of Japan (INCJ), a government-sponsored private equity corporation, and Riverstone Holdings LLC, a leading conventional and renewable energy focused private equity firm, today announced jointly that Marubeni and INCJ have agreed to acquire Seajacks International from funds controlled by Riverstone Holdings.  The terms of the transaction were not disclosed.

 

The sale is expected to close at the end of April 2012.  Marubeni intends to integrate the Seajacks business into its Power Projects & Infrastructure division.

 

Seajacks International is an offshore services company that operates primarily in the European offshore wind market but also serves the European offshore oil and gas markets. Seajacks owns and manages self-propelled jack-up vessels equipped for the harsh conditions of the North Sea. Riverstone and the Seajacks’ management team acquired Seajacks in January 2010 in a take-private transaction. Since then, Seajacks has expanded its operations throughout Europe and is in the process of adding vessels to its fleet. The next vessel is set to be delivered in May 2012.

 

Masumi Kakinoki, Executive Officer and COO of Marubeni Corporation, said, “Marubeni’s current involvement in offshore wind projects in Europe and our engineering, procurement & construction expertise make Seajacks an ideal fit for our portfolio. Together, we will be able to build on Seajacks’ leading position in the European offshore energy services sector.”

 

Kimikazu Noumi, President and CEO of INCJ, said, “INCJ encourages the development of renewable energy and is happy to announce the acquisition of Seajacks, a key player in offshore wind. I am confident that Seajacks and Marubeni will continue to perform a significant role in the growing offshore energy service sector.”

 

Lord Browne of Madingley of Riverstone Holdings said, “We are very proud of the fleet which the Seajacks management team has assembled and the value the company has created for our investors while meeting the needs of the fast-moving offshore renewable energy industry in Europe. We wish Seajacks and Marubeni future success.”

 

Blair Ainslie, Managing Director of Seajacks UK, said, “I am delighted that this transaction has been agreed. This is a logical step forward for Seajacks, and great news for our loyal staff and for our valued customers. With Marubeni and INCJ as our owners, we will be able to expand our fleet and consolidate our position as one of the leading turnkey offshore energy service companies in Europe. We expect to announce the commencement of construction of new vessels in the very near future to take advantage of the significant business opportunities we are seeing.”

 

About Marubeni Corporation

Marubeni is a publicly traded company with a market capitalization in excess of US$12.5 billion as of 29 February 2012 and annual total revenues of US$44,384 million as of 31 March 2011. It is one of the largest trading houses in Japan and is involved in metal, minerals and energy resources, food products and materials, paper and pulp, chemicals, textiles, transportation machinery, electric power and other infrastructure projects, among others. For more information, visit www.marubeni.com.

 

About Riverstone Holdings LLC

Founded in 2000, Riverstone Holdings LLC is an energy and power-focused private equity firm with over $18 billion of equity capital raised across seven investment funds and co-investments, including the world’s largest renewable energy fund. Riverstone conducts buyout and growth capital investments in the midstream, exploration & production, oilfield services, power and renewable sectors of the energy industry. With offices in New York, London and Houston, the firm has committed approximately $16.4 billion to 80 investments in North America, Latin America, Europe and Asia.