OEG Offshore Group will fast-track its global growth plans following an investment from KKR and the group’s current management team. Global investment firm KKR has acquired a majority stake in OEG, with executive management retaining a significant holding in the Aberdeen head-quartered business.
With regional hubs in the main offshore oil and gas regions, including Singapore, Australia and USA and 20 further diversified stocking locations, OEG manufactures and leases specialist cargo carrying units to the international offshore oil and gas industry and employs 165 people.
These units are business critical items used by oil companies and their service providers to transport equipment and supplies to and from oil rigs and offshore drilling platforms as part of their day-to-day operations. In addition, OEG has a fleet of modular workspaces (“A60 cabins”) that are used as temporary offices or laboratories by engineers or other personnel undertaking work on offshore platforms or rigs.
John Heiton, Chief Executive Officer of OEG, said:
“We have achieved significant international growth to date but our teams have the appetite and capacity to accelerate our expansion both organically and through acquisition.
“KKR, with its global network and experience as a leading investor in the energy services sector, will help us realise those global ambitions more quickly. We are delighted to co-invest with KKR and look forward to working in partnership with them to achieve our vision of becoming the global leader in the provision of field support equipment to the offshore industry.”
The deal follows hot on the heels of OEG’s acquisition of OSCA Environmental Services Limited, which significantly expanded the firm’s reach in the Caspian region. OEG acquired OSCA’s entire 2,500-unit stock, bases in Baku, Azerbaijan and Aktau, Kazakhstan, Turkmenistan as well as stocking locations in Sakhalin, Russia, Gabon, Congo and Angola and full staff of 35 people.
Dominic Murphy, Head of KKR operations in the UK said:
“OEG has built an impressive track record and has an exciting growth path ahead, with an eye toward expanding its fleet and geographic coverage. We look forward to partnering with John Heiton and his team who combine deep technical expertise with strong commercial relationships in the offshore oil and gas industry and logistics sector.”
KKR has a strong track record of successfully investing in growth companies, servicing the global off shore energy sector, including investments in Acteon, RigNet, Avincis (Bond Aviation) and Weststar.
Photograph is John Heiton, Chief Executive Officer at OEG
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