FMC Technologies and Technip to combine
Technip and FMC Technologies, Inc. today announce that the companies will combine to create a global leader that will drive change by redefining the production and transformation of oil and gas. The combined company, which will be called TechnipFMC, would have an equity value of $ 13 billion based on pre - announcement share prices.
The companies have entered into a Memorandum of Understanding (MOU) and expect to execute a definitive business combination agreement to combine the companies in an all - stock merger transaction. Under the terms of the MOU, Technip shareholders will receive two shares of the new company for each share of Technip, and FMC Technologies shareholders will receive one share of the new company for each share of FMC Technologies.
Each company’s shareholders wil l own close to 50 percent of the combined company. The transaction brings together two market leaders and their talented employees, build ing on the proven success of their existing alliance and joint venture, Forsys Subsea , uniting innovative technologies , common cultures and values , enabling rapid integration. The combined company will offer a new generation of comprehensive solutions in Subsea, Surface and Onshore / Offshore to reduce the cost of producing and transforming hydrocarbons. TechnipFMC’s flexible commercial model will provide both integrated and discrete solutions to customers across the value chain.
With 2 more than 49,000 employees operating in over 4 5 countries, TechnipFMC generated 2015 combined revenue of approximately $20 billion and combined 2015 EBITDA of approximately $2.4 billion. As of March 31, 2016, the two companies together had consolidated backlog of approximately $20 billion.
About Technip
Technip is a world leader in project management, engineering and construction for the energy industry. From the deepest Subsea oil & gas developments t o the largest and most complex Offshore and Onshore infrastructures, our 3 2 , 5 00 people are constantly offering the best solutions and most innovative technologies to meet the world’s energy challenges. Present in 45 countries, Technip has state - of - the - art industrial assets on all continents and operates a fleet of specialized vessels for pipeline installation and subsea construction.
About FMC Technologies
FMC Technologies, Inc. is the global market leader in subsea systems and a leading provider of technologies and services to the oil and gas industry. The company has approximately 16,500 employees and operates 29 major production facilities and serv ices bases in 18 countries.
