Saipem and Subsea 7 have finalized terms for their proposed merger, aiming to create a leading player in the offshore services sector by mid-2026. Initially announced in February, the merger will result in a 50-50 ownership structure in the new entity, Saipem7. Subsea 7 shareholders will receive nearly 6.7 new Saipem shares for each share held, along with a pre-closing dividend of approximately $529 million.
The merger is projected to generate around €21 billion in revenue and over €2 billion in EBITDA, with anticipated free cash flow exceeding €800 million. The combined company will operate in over 60 countries, boasting a project backlog of €43 billion. Its diversified fleet of more than 60 construction vessels will enable operations from shallow to ultra-deep waters, addressing opportunities in oil, gas, carbon capture, and renewable energy.
Key shareholders Eni, CDP Equity, and Siem Industries support the merger, with Eni and CDP Equity set to appoint Alessandro Puliti as CEO. The collaboration reflects a positive outlook for the sector, which has rebounded from previous downturns linked to offshore wind and oil and gas challenges. Both companies have rich histories in offshore services, evolving through various mergers since the 1950s.
