The Norwegian OSV mega merger between Solstad Offshore, Farstad Shipping and Deep Sea Supply has moved ahead with the boards of the three firms signing on Friday plans for the consolidation.
The new company, to be called Solstad Farstad, will have a fleet of 154 vessels. The three boards said in a release that it is necessary to conduct to consolidate the OSV sector.
The new consolidated group will build on the complementary strengths of the three companies, according to the release, combining the existing Solstad’s CSV capabilities with Farstad’s AHTS experience and long-standing position in Brazil and Australia, together with Deep Sea’s cost efficient PSV operating model.
The combined company will operate a global fleet of 33 CSVs, 66 PSVs and 55 AHTSs. In addition, John Fredriksen’s Deep Sea has ordered three aquaculture vessels through a joint venture with Marine Harvest Norway.
The merger should drive savings of up to NOK650m a year. The new group will be headquartered out of Skudeneshavn, Norway.