Norwegian Competition Authority rejects Floatel Prosafe merger

Norwegian Competition Authority rejects Floatel Prosafe merger

Norwegian Competition Authority has announced the rejection of the proposed merger between offshore accommodation platform operators Floatel and Prosafe.

In September, competition authorities from both Norway and UK opposed the proposed merger after investigations, giving similar concerns that the merger would could reduce competition in the supply of offshore accommodation support vessels for oil and gas projects, while customers of the two companies may face higher prices or lower quality offers due to insufficient competition.

Floatel and Prosafe will study the decision in detail and expects to decide on whether to appeal shortly.

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

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.

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