Brasco to Acquire Briclog for R$125m
Wilson Sons will pay acquisition cash consideration of R$10m immediately, R$60m on satisfaction of all conditions precedent, and the remainder R$55m 360 days from the contract signature with the later two payments adjusted for movement in the Brazilian index of consumer prices.
Wilson Sons expects strong growth in the business through synergy with the existing Brasco operations and client base, together with overall growth in the Brazilian offshore oil & gas industry.
The closing of the acquisition is subject to various conditions precedent including a 30-year lease right to operate in a defined 66,860 square meter area in the Bay of Guanabara, Rio de Janeiro, Brazil, together with the assignment of certain other lease contracts to Briclog.
Gross assets of Briclog amounted to R$ 39m at December 31, 2010. In 2010 Briclog generated R$6m in net profit.
Briclog is a provider of port services to the oil & gas industry. Brasco is an integrated port and logistics service provider to the oil & gas industry in Brazil.
In addition, Wilson, Sons Ultratug Offshore (WSUT), in which Wilson, Sons has a 50 percent interest, participated in the latest Petrobras tender (International Invitation) for the construction of offshore support vessels.
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