Vallourec Expands its line Pipe Coating Solutions with the Acquisition of Thermotite do Brasil.

Vallourec, a global leader in premium seamless tubular solutions, has signed a definitive agreement to acquire 100% of the shares of Thermotite do Brasil Ltda., a subsidiary of Mattr. Thermotite specializes in providing thermal insulation pipe coating services for the offshore oil and gas industry. The acquisition is valued at US$ 17.5 million, on a cash-free, debt-free basis, subject to customary adjustments, including working capital.

Thermotite’s facility is situated within Vallourec’s existing coating services site in Serra, Espírito Santo State, Brazil. This acquisition aligns with Vallourec’s premiumization strategy, strengthening its position across the industry value chain through an integrated industrial setup. It also enhances Vallourec’s technical expertise, particularly in offshore and deep water markets.

Philippe Guillemot, Chairman of the Board of Directors, and Chief Executive Officer declared: “This acquisition is a further step forward in our strategy to provide premium integrated solutions for the most challenging offshore projects. Thermotite’s expertise perfectly complements our existing portfolio of anti-corrosion coating solutions, allowing us to offer our customers more complete and tailored line pipe solutions. By strengthening our presence in Brazil, a key market for the offshore industry, we are well-positioned to capitalize on the growing demand for premium tubular solutions both in the domestic market and in high-value export markets.

The transaction, under which Vallourec will acquire 100% of the shares of Thermotite do Brazil, is subject to customary closing conditions, including regulatory approvals.

Vallourec reiterates its previously stated targets to deleverage further in the second half of 2024 and to commence shareholder returns in 2025 at the latest.

Source: VALLOUREC