Tenaris has successfully acquired Mattr's pipe coating business unit (Shawcor) for $182.6 million, marking a strategic move to enhance its product and service offerings. The deal, announced on August 14, 2023, received regulatory approvals in Mexico and Norway. With nine plants spanning across Canada, Mexico, Norway, Indonesia, the UAE, and the United States, Tenaris aims to fortify its global footprint. The acquisition aligns with Tenaris's commitment to providing innovative coating solutions for onshore and offshore pipelines, promising efficiency and effectiveness.
In a significant development, Tenaris has achieved a milestone by completing the acquisition of Mattr's pipe coating business unit, known as Shawcor. The $182.6 million deal, inclusive of estimated working capital and $16.9 million in cash, solidifies Tenaris's position in the competitive landscape of pipe manufacturing and coating solutions. The acquisition, initially disclosed on August 14, 2023, has received the necessary regulatory approvals in Mexico and Norway.
With this strategic move, Tenaris brings a substantial portfolio into its fold, comprising nine plants strategically located in Canada, Mexico, Norway, Indonesia, the UAE, and the United States. The acquisition also includes several mobile concrete plants, cutting-edge research and development facilities in Canada and Norway, and an extensive intellectual property and product portfolio. Tenaris President for Europe, Michele Della Briotta, expressed enthusiasm about the acquisition, emphasizing the creation of an excellent portfolio that encompasses high-quality products, innovative services, and advanced coating technologies.
The newly formed Coating Profit Center, under the leadership of Michele Della Briotta, is poised to offer highly efficient and effective solutions catering to customers' diverse operations. This strategic alignment positions Tenaris as a comprehensive provider of end-to-end concrete weight, anti-corrosion, and flow assurance coating solutions for both onshore and offshore pipelines.
As part of the transition, Tenaris has committed to honoring all existing Shawcor commitments, ensuring a seamless experience for clients. The company is set to integrate the acquired facilities, aligning operations with its global industrial standards for quality, health, safety, and environment. This integration process reflects Tenaris's dedication to maintaining high standards across its expanded portfolio and global operations.
Tenaris's successful acquisition of Mattr's pipe coating business unit not only strengthens its global presence but also positions the company as a leader in providing comprehensive coating solutions for pipelines. The strategic move aligns with Tenaris's commitment to innovation and efficiency, offering customers high-quality products and services. As the newly formed Coating Profit Center takes shape under Michele Della Briotta's leadership, Tenaris is well-positioned to meet the diverse needs of its clientele. The commitment to honoring existing commitments and aligning operations with global standards underscores Tenaris's dedication to maintaining excellence in quality, health, safety, and environmental practices.