FMC Technologies, Inc. (NYSE:FTI) and Schilling Robotics announced today
that they have entered into a definitive agreement whereby FMC
Technologies will acquire a 45% interest in Schilling Robotics LLC for
$116 million in a transaction expected to close no later than December
31, 2008. The acquisition is expected to be accretive to FMC
Technologies’ earnings per share in 2009.
The acquisition partners two companies whose innovative technologies
enable subsea energy production worldwide. FMC Technologies is the
leading manufacturer and supplier of subsea production systems.
Schilling Robotics is a leading producer of ROVs (remotely operated
vehicles), ROV manipulator systems, control systems, and other
high-technology equipment and services for oil and gas subsea
exploration and production.
FMC Technologies Chairman, President and CEO Peter D. Kinnear said,
"This is a unique and exciting opportunity to expand our subsea business
in a new direction. Our global subsea franchise will assist Schilling
Robotics in extending its reach worldwide and better position it to
serve its customers. Additionally, the relationship will allow FMC to
participate more fully in the increasing integration of remote
activities performed on the seabed such as subsea processing, well
intervention and production optimization.”
Schilling Robotics Chairman Tyler Schilling commented on the strategic
implications for Schilling, "Our partnership with FMC is a logical
outcome of the growth trajectory we have been on for many years. FMC
understands and endorses our strategy to introduce innovative digital
technologies in response to the growing communications and control
challenges facing our customers in the subsea environment. In the last
few years we have undertaken numerous initiatives that expand our
participation in this major market.”
In addition to its expected purchase of 45% of Schilling by year end,
FMC Technologies is acquiring the rights to exercise an option over the
two-year period beginning in 2012 to acquire the remaining 55% of the
company.
FMC Technologies, Inc. (NYSE:FTI) is a leading global provider
of technology solutions for the energy industry. The Company designs,
manufactures and services technologically sophisticated systems and
products such as subsea production and processing systems, surface
wellhead systems, high pressure fluid control equipment, measurement
solutions, and marine loading systems for the oil and gas industry.
Named by FORTUNE Magazine as America's Most Admired Oil and Gas
Equipment, Service Company in 2005, 2006 and 2008, FMC Technologies has
approximately 10,000 employees and operates 23 manufacturing facilities
in 19 countries.
For more information visit www.fmctechnologies.com.
This release contains forward-looking statements as defined in the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements are information of a non-historical nature and are subject to
risks and uncertainties that are beyond the Company's ability to
control. These risks and uncertainties are described under the caption
"Risk Factors" in the Company's Annual Report on Form 10-K for the year
ended December 31, 2007 and may be modified in subsequent quarterly
reports filed by the Company with the Securities and Exchange Commission
that may be accessed on the Company's website. The Company cautions
shareholders and prospective investors that actual results may differ
materially from those indicated by the forward-looking statements.
Schilling Robotics, a global, deep-ocean robotics company, was
founded in 1985.
Its customers include offshore oilfield
equipment and service providers such as Acergy UK Ltd, Bourbon Subsea
Services, Expro North Sea Ltd, and Oceaneering International. Schilling
is headquartered in Davis, California and has regional offices in
Houston, Texas and Aberdeen Scotland, with a total staff of more than
300. Further information about Schilling Robotics can be found at www.schilling.com.
The Schilling Business Diary includes information about Schilling,
the ROV industry, and emerging technology in offshore exploration.
www.globalprovince.com/schillingroboticsindex.htm
