OMERS is expanding its transportation holdings with the purchase of one of the world’s largest shipping service firms.
The private equity arm of OMERS has announced an agreement to acquire V.Group Limited for US$520 million. V.Group, which operates across 34 countries, is the global market leader in outsourced ship management and a leading player in crew provision and related marine services. The company manages the running and maintenance of over 700 vessels on behalf of its customers and provides a variety of related services to these and other third party vessels.
“V.Group has an attractive and differentiated outsourcing-based business model and is led by an exceptional management team,” said Mark Redman, senior managing director of OMERS Private Equity in Europe. “We believe V.Group’s extensive global network, track record of profitable growth, compelling customer value proposition and breadth of services provide significant long-term potential.”
OMERS Private Equity expects to close the transaction by early September 2011. V.Group’s management team is expected to be a significant investor in the business through continued equity ownership.