Astorg Partners announces today the sale of Geoservices, a French oil field services company, to Schlumberger (NYSE : SLB).The deal, subject to the final approval of regulatory authorities, will be concluded on the basis of a US$ 1.07 billion enterprise value.
Started in 1958 by Gaston Rebilly, a geologist, Geoservices is a world leader in oil field services and specialises in mud‐logging, Slickline and Production Monitoring Operations.Astorg Partners acquired the control of Geoservices in July 2005.
Geoservices has invested heavily in the development of new technologies for exploration and appraisal well activities, particularly in the emerging deepwater market. Geoservices is the world leader in "Mud‐logging". Mud‐logging is an exploration related service, delivered at the oil companies well‐site with a mobile laboratory unit and sophisticated data acquisition systems. The unit generates real time information during the drilling process for the monitoring and optimization of drilling operations and for the evaluation of the hydrocarbon reservoir characteristics.Geoservices is also a major competitor in slickline. Slickline is a production related technology which covers many services in the well: mechanical operations, measurement surveys, perforating, and tubing cutting among other things.
Geoservices has a network of bases in 52 countries and employs more than 5,000 people. Geoservices had reported revenues of US$ 491 million in 2009. Research is an important company value at Geoservices, which commits significant resources to R&D. In a competitive market like the oil servicessector, technology is the key differentiating factor and the only way to stay ahead. To maintain its edge over its competition, Geoservices employs more than 100 researchers for high‐level research across a variety of subjects, from applied mathematics to signal processing, nuclear physics, physic‐chemistry, to purely technological problem solving such as very high temperature electronics.
Joël Lacourte, Managing Partner of Astorg Partners commented "We have had a wonderful adventure with Geoservices management over the last five years. Under the leadership of Bruno Burban (Chairman of the Board) and Philippe Salle (CEO), the company has gone through a dramatic transformation, considerably strengthening its strategic positioning and the depth of its management team. The portfolio of activities has been focused, the technological leadership considerably enhanced and market shares significantly increased through internal growth and numerous acquisitions. The sale of Geoservices to Schlumberger is for us an outstanding recognition of the value that has been created over these years".
24 March 2010