HMH Announces Completion of ESD Acquisition

Rhea-AI Summary

HMH Holdings B.V. announced the completion of its acquisition of Electrical Subsea & Drilling AS (ESD) on August 24, 2022. Based in Bergen, Norway, ESD possesses innovative technologies, including electronic blowout preventers and rotating control devices for drilling operations. CEO Merrill A. ‘Pete’ Miller Jr. emphasized that ESD enhances HMH's technological capabilities and aligns with environmental goals by reducing drilling's ecological footprint. This acquisition marks HMH's first move toward expanding its portfolio, supporting energy-efficient solutions in offshore drilling.

Positive

• Acquisition of ESD enhances HMH's technology portfolio, focusing on electronic blowout preventers.
• The move aligns with HMH's environmental goals, potentially lowering the ecological impact of drilling.
• Strategic growth opportunity in the offshore drilling market and potential expansion into renewables and mining.

Negative

• None.

AMSTERDAM--(BUSINESS WIRE)-- HMH Holdings B.V. today, August 24, 2022, announced the closing of the acquisition of Electrical Subsea & Drilling AS (“ESD”) a Bergen, Norway, based company. ESD holds a portfolio of patents and technology with applications in the oil and gas industry. Among the most promising technologies within the ESD portfolio are technologies related to electronic blowout preventers and rotating control devices for riserless drilling and managed pressure operations.

Merrill A. “Pete” Miller Jr., Chief Executive Officer and Chairman of HMH commented: “today I am pleased to announce HMH’s first acquisition. ESD is a great fit with HMH and propels us forward with the next level of technology in pressure control and drilling. ESD’s technologies are beneficial on the ESG front; weight and space reductions enabled by electric BOP technology contribute to a lower overall environmental impact of drilling, an important goal for HMH. We are excited about this transaction and welcome ESD into the HMH family.”

John Dale, Chief Executive Officer of ESD stated: “ESD has been a long-term believer and proponent of this technology. Joining with a well-known and established manufacturer like HMH is something we are extremely happy about. This will allow us to take the technology out to the market with a respected partner.”

HMH is an independent company formed in October of 2021, through the merger of Baker Hughes’ (NYSE: BKR) Subsea Drilling Systems business (SDS) and Akastor ASA’s (Oslo: AKAST) wholly owned subsidiary, MHWirth AS (MHWirth).

HMH combines integrated delivery capabilities, capital, renowned industry expertise and delivers the full range of offshore drilling equipment products and packages at scale. HMH aims to support the industry’s transition toward more energy-efficient solutions, as well as deploying technologies and service solutions to make the sector more competitive through increased drilling efficiency. Moreover, the Company’s service and technology portfolio will be utilized as a springboard for future growth, both within drilling services and when pursuing opportunities towards adjacent industries such as renewables and mining.

For further information, please visit homepage: https://hmhw.com/

View source version on businesswire.com: https://www.businesswire.com/news/home/20220824005437/en/

HMH Holdings B.V.

Tom McGee – Chief Financial Officer

Thomas.McGee@hmhw.com

Source: HMH Holdings B.V.

FAQ

What is the significance of HMH's acquisition of Electrical Subsea & Drilling AS?

The acquisition enhances HMH's technological capabilities in pressure control and drilling, aligning with environmental sustainability goals.

When was the acquisition of ESD announced by HMH?

The acquisition was announced on August 24, 2022.

How does ESD's technology benefit HMH in the oil and gas sector?

ESD's technology includes electronic blowout preventers that contribute to safer and more efficient drilling operations.

What are the future growth opportunities for HMH following the ESD acquisition?

HMH aims to leverage ESD's technologies for expansion in offshore drilling and adjacent sectors, including renewables and mining.

Who are the key executives involved in the acquisition of ESD by HMH?

Merrill A. ‘Pete’ Miller Jr. is the CEO of HMH, and John Dale is the CEO of ESD.