Pareto JGO Shipbrokers and Derrick Offshore announce a combination which brings together two of the world’s leading shipbrokers in the specialist offshore market.
The transaction sees Derrick Offshore being acquired by Pareto JGO Shipbrokers. Derrick Offshore will continue to trade under its current name and trademark, with all of the current directors and shareholders remaining with the company, and with Sean Harvey continuing as CEO. Detailed terms of the transaction were not disclosed.
Derrick Offshore, founded in 1976, specialises in the offshore oil and gas, renewable energy, and subsea cable industries. It has 16 employees with offices in Guildford, near London, and Aberdeen in the UK.
Pareto JGO Shipbrokers, whose history dates back to 1912, provides shipbroking services in both the offshore and tanker markets, serving a wide range of ship owners, charterers and operators, both in Norway and worldwide. It is based in Kristiansand, Norway and has 21 employees. The business has been part of the Pareto group since 2006.
The Pareto group is a leading independent operator in the market for financial services with headquarters in Oslo, employing in excess of 600 people in offices throughout Norway and worldwide and having shareholders’ equity of NOK 5 billion at the end of 2013, a year in which the group was involved in raising in excess of NOK 75 bn. in equity and debt for its clients.
The future will see Derrick Offshore and Pareto JGO Shipbrokers working closely together in the offshore market. The two businesses have complimentary skills and client coverage, which, combined with the financing and capital markets skills of the Pareto group, should bring opportunity to offer a more comprehensive service to the clients of both businesses. The deal also provides Pareto with a significant foothold in the UK market, particularly in the offshore centre of Aberdeen, where there are plans to expand its activities in combination with the newly established Pareto Securities office in Aberdeen.
Sean Harvey, CEO of Derrick Offshore, commented: “We are delighted to be teaming up with Pareto JGO, who we have worked with for many years. There is an excellent fit between the two businesses and a very strong cultural affinity, which will enable us to leverage our complimentary capabilities to the benefit of our clients and bring exciting opportunities for our employees to develop their careers in the enlarged business”
Karsten Christensen, MD of Pareto JGO Shipbrokers, commented: “We are very pleased to have concluded the acquisition of Derrick Offshore, through a deal that sees the creation of the world’s leading shipbroker in the market for subsea and special services vessels. The deal also provides us with a very exciting foothold in the UK market, that we intend to build upon going forward. We have been thoroughly impressed by the depth of market knowledge and their extensive client portfolio, and we look forward to working closely with the Derrick team and develop even more business opportunities together. I am confident that we together, and with the backing from a substantial “toolbox” of services offered by the Pareto group, will be able to offer current and new clients with the best scope and quality of service in the business”.
Press Release, August 19, 2014