Saipem7 In the Making | Subsea7, Saipem Enter Binding Merger Agreement

Subsea7 and Saipem have signed a binding merger agreement, kicking off the process of combining the two companies, which is expected to be completed in the second half of 2026 and result in a new offshore energy player named Saipem7.

The companies revealed plans to merge in February this year, when they signed a memorandum of understanding (MoU). Since then, Saipem and Subsea7 completed key activities leading to the binding agreement, including finalising the transaction structure and terms that are in line with those initially agreed at the time of the signing of the MoU.

Saipem7 will be structured as four businesses: Offshore Engineering & Construction, Onshore Engineering & Construction, Sustainable Infrastructures and Drilling Offshore.

Subsea7’s businesses and Saipem’s asset-based services business, including offshore wind, will be comprised in the Offshore Engineering & Construction unit. The unit will be an operationally autonomous company named Subsea7 and fully owned by Saipem7, branded as “Subsea7, a Saipem7 Company”.

The new, Saipem7-owned Subsea7 will represent approximately 84 per cent of the combined group’s EBITDA for the last twelve months as of 31 December 2024, the two companies said Thursday.

Saipem7, including all business units, will have revenue of approximately EUR 21 billion, EBITDA of over EUR 2 billion, and will have a combined backlog of EUR 43 billion, according to a joint press release issued on 24 July.

Saipem7 will be headquartered in Milan, Italy, and will have its shares listed on both the Milan and Oslo stock exchanges. The new offshore engineering and construction company, Subsea7, will be incorporated in the UK and headquartered in London.

Saipem and Subsea7 say that their merger will create a global leader in energy services. 

Both companies are actively involved in offshore wind, primarily providing offshore construction services.

Along with subsea cabling work, Subsea7 is also providing offshore wind farm construction services through Seaway7, which the company took over in 2017.

Saipem has also been building offshore wind farms for years now, primarily using its vessels Saipem 3000 and Saipem 7000 for the installation of foundations and substations.

In 2023, Saipem and Seaway7 entered into a commercial collaboration agreement to jointly identify, bid and execute fixed offshore wind projects.

Saipem also recently unveiled its own semi-submersible floating wind foundation technology. The star-like shape foundation, named Star1, was selected for two floating wind projects planned to be built in Italy.