Aker Solutions ASA has split in two in a bid to reduce costs and bolster its subsea and engineering services.
The firm, controlled by Norwegian billionaire Kjell Inge Roekke, confirmed its subsea, umbilicals, engineering and maintenance, modifications and operations units will remain under the Aker Solutions namesake.
Its drilling technologies, Aker Oilfield Services and process systems, will be developed independently as part of a new oil-services investment company, named Akastor.
“The new Aker Solutions will be a leaner and more focused company,” executive chairman Oeyvind Eriksen said.
“The company will, through a commitment to operational excellence and organic growth, be better placed to build on its leading position in the fastest growing areas of the global energy markets.”
The existing shareholder structure will remain the same across both businesses. Shareholders will get one new Aker Solutions share for each stock held in the existing company at the time of the separation. They will also keep their shares in the remaining business, which will be renamed Akastor at the time of the split.
“We are taking a major step in a transformation that began 12 years ago with the merger of Kværner and Aker Maritime,” added Eriksen.
“After this transaction and the 2011 Kværner spin-off, we will have created three distinct companies to service the global energy industry, providing offshore construction, unique subsea technology and field design and oilfield services. We have also divested NOK 12 billion in assets as part of the process.”
The firm’s largest shareholders, Aker Kvaerner Holding and Aker ASA, have given the move their stamp of approval. A wider general meeting will be held in August to vote on the split.
Last year, Aker Solutions made a conscious bid to cut costs. The firm ditched five-year earning targets to focus efforts on streamlining expenditure. The company later sold assets for more than 5.4 billion kroner ($898.7 million).
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