Bergen Group Cancels Rig Facilities Sale
The Bergen Group has decided to terminate a sales agreement that would see Semco Maritime acquire its rig service yard facilities at Hanøytangen. The real estate and the rig service activity at Hanøytangen will continue to be under the Bergen Group's ownership.
According to Semco Maritime, the transaction, initially announced on April 13, 2015, was subject to final closing no later than April 30, but ran into “unforeseen issues” which caused the Bergen Group to cancel the deal.
“Since the sales agreement was signed, some unforeseen issues have occurred at Bergen Group which means that the transaction cannot be completed,” Semco Maritime said in a press release. “We have tried to reach a solution for these issues, but Bergen Group has nevertheless decided to terminate the agreement.”
The Bergen Group explained in a press release, “In light of new requirements from the buyers and the sellers’ needs for a clarification of the situation, Bergen Group considered that closing of the transaction was not feasible within a reasonable time and within the original contract terms.”
A signed share purchase agreement between Bergen Group Offshore AS and Hellik Teigen AS and Hellik Teigen Eiendom AS, as well as the asset purchase agreement between Bergen Group Hanøytangen AS and Semco Maritime AS had as a condition that the transactions were to be completed no later than April 30, 2015. The Bergen Group said there was dialogue between the sellers and the buyers during the weekend in an effort to close the transactions, but a final deal was not reached.
The Bergen Group said it found it necessary to terminate the share purchase agreement with Hellik Teigen AS, and on this basis the condition of simultaneous completion of the Share Purchase Agreement and the Asset Purchase Agreement with Semco Maritime was also terminated.
“It is regrettable that we have not been able to conclude with two parties that we have worked with over many years, said Magnus Stangeland, chairman of the Board of Directors in Bergen Group ASA. “Nevertheless, Bergen Group has found it necessary to terminate the agreements and then establish an alternative solution that provides a required clarification for the group's financial situation within the deadlines we deemed decisive for the group.”
Semco Maritime’s CFO Jørgen D. Gade stated, “It is still our ambition to enter into an agreement about rig facilities in Norway, and even though the termination is a very inconvenient bump in the road, Semco Maritime will undauntedly continue its strategy in the search for well situated rig upgrade possibilities in and around the North Sea, both in terms of cooperation and acquisition.