Technip (Euronext: TEC) and FMC Technologies, Inc. has announced the formation of the new company that will drive change by redefining the production and transformation of oil and gas. The combined company, which will be called TechnipFMC.
Under the terms of the MOU, Technip shareholders will receive two shares of the new company for each share of Technip, and FMC Technologies shareholders will receive one share of the new company for each share of FMC Technologies. Each company’s shareholders will own close to 50 percent of the combined company.
The transaction brings together two market leaders and their talented employees, building on the proven success of their existing alliance and joint venture, Forsys Subsea, uniting innovative technologies, common cultures and values, enabling rapid integration. The combined company will offer a new generation of comprehensive solutions in Subsea, Surface and Onshore/Offshore to reduce the cost of producing and transforming hydrocarbons. TechnipFMC generated 2015 combined revenue of approximately USD 20 B and combined 2015 EBITDA of approximately USD 2.4 B. The combined company allows for a simplified, go-to-market strategy that spans from individual products or services to fully integrated solutions.