Published: January 4, 2024 |

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EIG has entered into definitive agreements with Novonor and Brazilian Development Bank to acquire Ocyan for $390 million. Ocyan is a Brazilian-based solutions provider to the offshore oil and gas industry.

“I have known and respected Ocyan for decades. The company’s resilience and the strength of its business have helped it overcome significant economic headwinds while maintaining a healthy balance sheet, positioning Ocyan for long-term growth,” said R. Blair Thomas, EIG’s chairman and chief executive officer.

“Brazil is home to more than 25 percent of the global FPSO fleets, and we believe the future market dynamics for oil and gas infrastructure in Brazil are very favorable, underscoring our dual commitment to supporting growth and development in this important region while creating value for our investors. We are also excited to support Ocyan’s ventures in the renewables space to help drive the energy transition forward,” added Thomas.

“Ocyan has built and operated more than $4 billion of drilling rigs, pipelaying support vessels, and FPSOs, alone or in joint ventures, always enjoying the very strong support of its shareholders and Novonor. This acquisition does not impact current contracts and operations with our clients and suppliers,” said Roberto Prisco Paraiso Ramos, Ocyan’s chief executive officer.

“This is another important chapter in our history and one that will undoubtedly create new opportunities for Ocyan,” added Ramos.

Ocyan has a 23-year track record delivering high-quality maintenance solutions to the offshore oil and gas sector, including the operation of subsea construction and decommissioning projects. As the only Brazilian operator in the floating production storage and offloading (FPSO) industry, Ocyan currently operates four offshore units through a 50/50 joint venture with Altera Infrastructure, holding long-term contracts with Libra Consortium, Karoon Energy, and 3R Petroleum. The company, with more than 3,000 dedicated employees, recently established a New Energies division that is focused on the digitalization of the oil and gas industry and engineering, procurement, and construction (EPC) contracts for renewable energy projects.

EIG has invested more than $2 billion in Brazil since 1998. The acquisition of Ocyan reflects EIG’s long-term, comprehensive Brazilian strategy focused on infrastructure supporting high-quality deepwater crude oil production, responsible decommissioning activities, and investments in renewables and low carbon projects. Following the completion of the transaction, Ocyan will benefit from EIG’s deep technical expertise in FPSOs and potential synergies with Prumo Logística, an EIG portfolio company, and its subsidiary, Port of Açu.

“FPSO is an attractive asset class for both equity and debt opportunities, and we are pleased to deepen our presence in the industry. We have admired Ocyan for many years and have been impressed by their ability to develop ambitious projects through challenging economic environments,” said Flavio Valle, EIG’s managing director and head of Brazil.

“With our global footprint and local capabilities, which are now enhanced by meaningful capital commitments from local clients, we believe that EIG is uniquely positioned to deliver on this complex transaction and to usher Ocyan into a new phase of growth,” added Valle.

“This is another important milestone for the Novonor Group in fulfilling its commitments to its stakeholders as it aims to reestablish the company’s focus on diversified operations in the engineering sector, where it was established almost 80 years ago. We are very proud of Ocyan and its team, who are recognized for their operational and technical excellence, and are certain that their successful trajectory will continue,” said Héctor Nuñez, Novonor´s chief executive officer.

The completion of the transaction is subject to certain customary closing conditions and is expected to occur in the first quarter of 2024.

EIG is a leading institutional investor in the global energy and infrastructure sectors with $23.0 billion under management as of September 30, 2023. EIG specializes in private investments in energy and energy-related infrastructure on a global basis. During its 41-year history, EIG has committed over $45.9 billion to the energy sector through over 400 projects or companies in 42 countries on six continents. EIG’s clients include many of the leading pension plans, insurance companies, endowments, foundations and sovereign wealth funds in the U.S., Asia and Europe. EIG is headquartered in Washington, D.C. with offices in Houston, London, Sydney, Rio de Janeiro, Hong Kong and Seoul.

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