Offshore services firm OEG raises USD 140m to fuel M&A strategy

UK offshore equipment and services business OEG Energy Group Limited announced today it has secured USD 140 million (EUR 131.7m) to pursue more M&A opportunities to advance the growth of its renewables business focused on offshore power generation.

The funds come in the form of a term loan and a revolving credit facility each arranged by a syndicate of banks including NatWest, Citi, Santander and Goldman Sachs, according to a statement released today.

OEG said the proceeds will provide flexibility to refinance outstanding bonds and enhanced liquidity to pursue add-on M&A opportunities with an emphasis on offshore renewables.

The group has been actively growing its renewables unit which offers topside, vessels and subsea services for the development, construction and maintenance of offshore wind farms and other marine energy businesses. Last month, OEG Renewables took over GEOSIGHT Ltd, a marine surveying specialist operating across offshore renewable energy, subsea cables and civils in the UK and Europe.

The financing in the bank market comes after earlier this year OEG Offshore entered into a partnership with US private equity firm Oaktree Capital Management LP to support the company’s organic and inorganic growth plan.

(USD 1 = EUR 0.940)

Choose your newsletter by Renewables Now. Join for free!