National Oilwell Varco Acquires NKT Flexibles

Bought flexible pipe products and systems manufacturer, gaining floating production, storage and offloading vessel assets.

National Oilwell Varco Inc., (NYSE: NOV) has acquired Denmark-based NKT Flexibles I/S for approximately US $670 million (3.8 billion Danish Kroner) in cash.

NKT, a joint venture between NKT Holding and Subsea 7 SA, designs and manufactures flexible pipe products and systems for the offshore oil and gas industry. The products include floating production, storage and offloading vessels and other offshore vessels, as well as subsea production systems including flow-lines and flexible risers.

NKT recently signed a supply framework agreement with Petrobras and has decided to construct a new facility in Brazil to further strengthen its position in this important market.

National Oilwell Varco president and chief executive Pete Miller says, “The incorporation of NKT’s highly technical design capability and business into our Rig Technology group is an exciting and strategic opportunity for NOV. The addition of NKT’s technology and expertise to our current suite of products for the offshore production market significantly increases our footprint in this growing segment of the oil and gas industry.”