General – Merger
Although it is not a significant surprise, Saipem and Subsea7 have signed a binding merger agreement to create a leading energy services company under the name of Saipem7.
The binding merger agreement follows the memorandum of understanding that the companies signed in February 2025.
Completion of the proposed merger is anticipated to take place in the second half of 2026.
Aside from the backlog in excess of $50 million, the new company will have revenue of approximately $24.6 billion, EBITDA of over $2.3 billion, and will generate more than $930 million of free cash flow, according to the companies.
Also, the highly complementary geographical footprints, competencies and capabilities, vessel fleets, and technologies are expected to benefit Saipem7’s global portfolio of clients.
The newly created company will be structured as four businesses – Offshore Engineering & Construction, Onshore Engineering & Construction, Sustainable Infrastructures and Drilling Offshore
Saipem7 will be created through an EU cross-border statutory merger, carried out by way of the absorption of Subsea7 into Saipem.
Siem Industries, currently the largest shareholder of Subsea7, will own approximately 11.8% of Saipem7’s share capital, while Eni and CDP Equity, currently the largest shareholders of Saipem, will respectively own approximately 10.6% and 6.4% of Saipem7’s share capital.
Assuming all Subsea7 shareholders participate in the merger, Saipem and Subsea7 shareholders will own 50% each of the share capita
Saipem7 will remain incorporated in Italy and headquartered in Milan, and will have its shares listed on both the Milan and Oslo stock exchanges.
Subsea7 will be incorporated in the U.K. and headquartered in London.
Kristian Siem is expected to be appointed chairman of the board of directors, while Alessandro Puliti is earmarked to take the chief executive officer role.
