FMC CORP. TO PURCHASE SOFEC, INC.
CHICAGO, April 20 /PRNewswire/ -- FMC Corp. (NYSE: FMC) today announced it has signed a letter of intent to acquire SOFEC, Inc., a Houston-based engineering and construction company that designs, fabricates and installs marine terminals and mooring systems. Terms of the transaction were not disclosed. Completion of the deal is subject to approval of a definitive agreement by the FMC Board of Directors and SOFEC shareholders, and requisite government approvals. The transaction is targeted for completion by the end of the second quarter. According to Joseph H. Netherland, FMC vice president, and general manager of the company's Energy and Transportation Equipment Group: "SOFEC is a well-established business and a technological leader, with expertise that complements FMC's own fluid control and marine loading operations. FMC, in turn, offers SOFEC the resources to participate fully in a growing Single Point Mooring market that is predicted to reach approximately $5 billion over a 10-year period. Together, we can provide our customers with an enhanced, integrated package of products, services and technology." Most of SOFEC's business relates to Single Point Moorings, which permit a moored vessel to "weathervane" 360 degrees about a mooring, allowing operations in extreme sea conditions. These terminals are the only method for mooring Floating Production, Storage and Offloading vessels in the deep, hostile waters most often associated with offshore oil and gas development. SPM terminals also serve as proven port facilities for the import and export of crude oil and refined products for refineries, power plants and transshipment storage facilities, and provide rapid deployment facilities for the delivery of large quantities of fuel from tankers to shore-based military operations. SOFEC began in 1972 as a licensee of Exxon Research and Engineering Company's single anchor leg mooring technology. In 1983, Vickers PLC acquired SOFEC to add to its marine engineering operations SOFEC management purchased the company from Vickers in 1988. FMC said SOFEC will operate as a unit of FMC's Houston-based Energy and Transportation Equipment Group. FMC Corp. is one of the world's leading producers of chemicals and machinery for industry, government and agriculture. The Chicago-based company reported annual sales of $4 billion in 1992, with international sales to more than 100 countries accounting for more than 45 percent of total annual revenues. FMC employs 22,000 people at 95 manufacturing facilities and mines in 18 countries.
The company divides its businesses into five major segments: Industrial Chemicals, Performance Chemicals, Precious Metals, Defense Systems, and Machinery and Equipment.
-0- 4/20/93 /CONTACT: Pat Brozowski, 312-861-6104 or (investors), Chuck Thomas, 312-861-6678, both of FMC Corp/ (FMC)
CO: FMC Corp.; SOFEC, Inc. ST: Illinois, Texas IN: CST SU: TNM
WB -- NY110 -- 8336 04/20/93 17:26 EDT
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|Date:||Apr 20, 1993|
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