BAKU, Azerbaijan, August 17. Canadian ShawCor Ltd company, which is a contractor for the construction and insulation of pipes at Azerbaijan's Shah Deniz gas condensate field, has sold its stake in a subsidiary in Azerbaijan, Trend reports.
The company has signed an agreement to sell a significant portion of its division to Tenaris S.A., a global manufacturer and supplier of steel pipes and related service, for about $220 million, according to a ShawCor report.
The sale includes operations in Canada, the US, Mexico, Norway, the UAE and Indonesia, several mobile concrete pavement factories, an interest in a joint venture in Azerbaijan, research and development activities in Canada (Toronto) and Norway, as well as intellectual property.
According to CEO Mike Reeves, once the deal closes, in conjunction with other transactions and a few remaining non-essential actions, the company's strategic review process will be completed.
This deal is expected to be subject to customary closing conditions, including regulatory approvals, which the company predicts will take approximately six months to complete.
Moreover, ShawCor announced its intention to change its name to Mattr and began a strategic review of its pipeline and oilfield asset management divisions last year.