Aberdeen’s OEG Group has been acquired by Apollo in a deal that values the group for greater than $1 billion (£770m).
The US-based fund supervisor acquired a majority stake within the offshore power providers group from private-equity backer, Oaktree Capital Administration, and different buyers.
Though the scale of the stake acquired was not revealed, Apollo stated the transaction meant the group achieved a “headline valuation” of over $1bn, with Los Angeles-based Oaktree retaining a small stake.
Apollo, which manages funds price over $750bn, gave up after making quite a lot of makes an attempt purchase Aberdeen’s power providers agency Wooden Group in 2023.
The agency, which has acquired OEG on behalf of fund buyers, highlighted that OEG operates one of many world’s largest fleets of cargo carrying models (CCUs), with over 75,000 models dealing with cargo to and from offshore power installations.
OEG launched its renewables division, largely focusing on offshore wind, in 2021. On the finish of 2024, OEG advised Vitality Voice it employs 1,300 individuals throughout 65 places worldwide and was on monitor to ship income in extra of £400 million this 12 months for 2024, with the intention to attain £800m turnover inside the subsequent 5 years.
Its heritage dates again to 1973, when it purchased Ferguson Seacabs, which launched on the again of the primary North Sea oil area, Argyll.
OEG chief government John Heiton, CEO of OEG, stated: “Since our firm’s founding, we’ve labored exhausting to ascertain OEG as a world chief in delivering core providers all through the offshore power worth chain.
“As power producers throughout Europe and across the globe proceed to spend money on the power transition, we’re dedicated to increasing and enhancing our capabilities as a key accomplice.
“We look ahead to working with Apollo as we enter this new and thrilling chapter for our enterprise and stay targeted on supporting our prospects with the identical high quality service they’ve come to count on.”
Wilson Handler, accomplice at Apollo, stated: “John and workforce have constructed OEG into a world chief and trusted supplier of offshore gear and providers, with an built-in enterprise mannequin that has scaled throughout cycles.
“We see an amazing alternative to spend money on the corporate’s future development as secular tailwinds drive demand for providers enabling environment friendly power manufacturing and renewable energy.
“Bringing to bear the size of Apollo’s built-in platform and deep experience in power providers, we look ahead to working with the proficient workforce at OEG to unlock worth for its numerous stakeholders and dependable buyer base through natural and inorganic channels.”
Francesco Giuliani, managing director and assistant portfolio supervisor in Oaktree’s Energy Alternatives technique, stated: “We’re happy with our partnership with the administration workforce at OEG and the success achieved throughout Oaktree’s interval of possession.
“Throughout that point, elevated deal with the power transition and international provide dynamics has made funding for core power infrastructure much more essential. We proceed to have robust conviction in OEG’s development trajectory and are thrilled to take care of a minority curiosity alongside Apollo funds.”
The transaction is predicted to shut in Q2 2025.
