March 30, 2017 / 1:27 PM / 10 months ago

UPDATE 1-Aker Solutions in $25 mln deal to buy competitor Reinertsen

(Adds lawyers, detail)

March 30 (Reuters) - Aker Solutions Asa

* Aker solutions to acquire Norwegian oil-services provider Reinertsen to build on its position as a leading maintenance and modifications supplier offshore Norway

* Purchase price is NOK 212.5 million ($25 million)

* The agreement excludes Reinertsen’s liabilities as of December 19, 2016

* Reinertsen had revenue of about NOK 800 million in 2016 and is expected to contribute positively to Aker Solutions’ earnings from 2018

* Reinertsen is the third-largest maintenance and modifications supplier offshore Norway with about 700 employees

* Acquisition is subject to approval by Norwegian competition authorities

* A debt commission headed by attorney Joar Grimsbu at law firm Arntzen de Besche has since Dec. 19 worked to find a solution to economic problems at Reinertsen AS, Arntzen de Besche said in a press release

* In the petition for debt negotiations from Reinertsen AS it was stated that the company had a debt of about 900 million Norwegian crowns ($105.30 million), but the debt commission has revealed that the debt is in fact over 1.6 billion Norwegian crowns

* Pareto was engaged to find new investors and has been talking to 48 potential investors but none was interested due to the financial problems

* An alternative to the solution would have been bankruptcy and all the employees would have lost their jobs

* Nordea has been Reinertsen’s bank and has guaranteed for the operations during the period of debt negations

* Source text for Eikon:

* Further company coverage: ($1 = 8.5055 Norwegian crowns) ($1 = 8.5473 Norwegian crowns) (Reporting by Terje Solsvik)

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