Chelmsford-based Global Marine Group acquires cable laying business in multi-million pound deal

The multi-purpose vessel M/V Symphony has been acquired by Global Marine Group as part of a deal wit

The multi-purpose vessel M/V Symphony has been acquired by Global Marine Group as part of a deal with Fugro - Credit: Archant

Chelmsford-based offshore engineering services company Global Marine Group (GMG) has announced a multi-million pound deal to acquire the trenching and cable laying arm of geo-intelligence firm Fugro.

The deal will see GMG acquire Fugro’s trenching and cable laying business in exchange for an equity stake of around 24% in the combined business valued at US$65 million (£49m), and a one year secured vendor loan of US$7.5 million (£5.6m).

The arrangement will involve 23 Fugro employees located in Aberdeen transferring to GMG, who will also acquire a multi-purpose ship called the M/V Symphony, as well as trenching and remote control vehicle equipment.

GMG, which provides engineering, underwater and cabling services to the oil and gas, telecoms and offshore renewables sectors, said the acquisition will “significantly enhance” its portfolio of service offerings to the market and will provide it with “highly capable, proven assets with a history of delivering complex engineering projects to customers around the world.”

Fugro is a provider of geo-intelligence and asset integrity solutions, which involves the gathering and analysis of data on topography, soil composition, and meteorological and environmental conditions.

Since the founding of Fugro’s trenching and cable lay services business in 2012, Fugro has established a strong presence in the renewables market, working with offshore wind farms including Lincs Wind Farm, Humber Gateway, Gwynt y Môr and Rampion.

The business has also conducted multiple operations in oil and gas for major oil companies such as Shell and BP.

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“This acquisition is another deliberate step in our strategic plan, adding extensive capabilities of the Fugro trenching and cable lay team to the Global Marine Group and further equipping us with proven assets to support our growth plans,” said Ian Douglas, CEO of GMG.

“I am delighted that Fugro identified us as the right partner to advance their trenching and cable lay business and I am looking forward to welcoming the Aberdeen-based trenching team to our corporate family. We are committed to our vision of engineering a clean and connected future.”