Prosafe Announced Extension of Merger Agreement with Floatel International

Prosafe SE and Floatel International Ltd have agreed to extend the long stop date in the share purchase agreement from 31 December 2019 until 30 June 2020.

Floatel and Prosafe signed a merger agreement in June last year, however the potential merger was opposed by competition authorities from both Norway and UK, who have concerns that the merger would could reduce competition in the supply of offshore accommodation support vessels for oil and gas projects, while customers may face higher prices or lower quality offers due to insufficient competition.

Prosafe currently owns a fleet of nine semi-submersible accommodation platforms with another two newbuildings under construction while Floatel owns five similar units.