Saipem to merge with Subsea7

According to a joint statement, Saipem and Subsea7 shareholders will own 50 percent each of the share capital of the combined company Saipem7.

Subsea7 shareholders will receive 6.688 Saipem shares for each Subsea7 share held.

The company will have a combined backlog of 43 billion euros ($45.2 billion), tevenue of about 20 billion euros, and Ebitda in excess of 2 billion euros.

Also, the combined company will have a global organisation of over 45,000 people, including more than 9,000 engineers and project managers.

The combined company will be listed on both the Milan and Oslo stock exchange.

Siem Industries, reference shareholder of Subsea7, as well as Eni and CDP Equity, reference shareholders of Saipem, have” expressed their strong support and intend to vote in favor of the transaction,” the statement said.

The combined company’s chairman will be designated by Siem Industries, while the company’s CEO will be designated by CDP Equity and Eni.

In addition, Alessandro Puliti will be appointed as CEO of the company while John Evans will be the CEO of the entity that will manage the offshore business of the company.

“The parties currently envisage to submit the final terms of the proposed combination to their respective board of directors for approval and to enter into the merger agreement around mid-2025,” they said.

Completion is currently anticipated to occur in the second half of 2026, the two firms added.

Saipem is currently working on several LNG projects, including the giant Qatari LNG expansion.

Most recently, Saipem and its Indonesian consortium partner Meindo Elang Indah secured a $1.2 billion offshore contract for the BP-led Tangguh UCC project in Papua Barat, Indonesia.