Subsea7 Participation in Seaway7 Equity Financing

Luxemburg 9 September 2022 – Seaway 7 ASA (“Seaway7”), part of the Subsea7 Group, today announced plans to raise $650 million through the issuance of new equity and debt primarily to finance its two new vessels. The share capital will be raised through a rights issue fully guaranteed by Seaway’s three major shareholders7 to raise gross proceeds of approximately $200 million. The proposed rights issue is subject to approval by Seaway7 shareholders at an EGM expected to be held early in the fourth quarter of 2022.

As part of Seaway7’s equity financing, and reaffirming its confidence in the long-term prospects of the fixed offshore wind market, Subsea7 will subscribe for new Seaway7 shares, representing 72% of the issue, equivalent to approximately $144 million, consistent with its current shareholding. The rights issue was fully subscribed by Seaway7’s three major shareholders (Subsea7, Songa and Lotus Marine) on a pro rata basis1 in proportion to their current shareholding.

Subsea7 will fund this investment from its existing liquidity which as of June 30, 2022 comprised cash and cash equivalents of $464 million, an undrawn RCF of $700 million and an export credit agency facility of $300 million.

Subsea 7 SA remains committed to the capital allocation framework communicated previously and intends to continue to pay its regular dividend of NOK 1 per share and return excess cash to shareholders through a special dividend and /or share buybacks.

A copy of Seaway7’s announcement is attached to this release and can also be viewed at www.seaway7.com or newsweb.oslobors.no.

1 Subsea7, Songa and Lotus Marine currently hold 72.00%, 14.32% and 7.16% of Seaway7’s capital respectively.

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Subsea7 is a global leader in providing offshore projects and services for the evolving energy industry, creating lasting value by being the industry partner and employer of choice to deliver the effective offshore solutions the world needs. need.

Subsea7 is listed on the Oslo Børs (SUBC), ISIN LU0075646355, LEI 222100AIF0CBCY80AH62.

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Contact for inquiries from the investment community:
Catherine Tonks
Investor Relations Director
Tel +44 20 8210 5568
[email protected]

Forward-looking statements: This announcement may contain “forward-looking statements” (within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995). These statements relate to our current expectations, beliefs, intentions, assumptions or strategies regarding the future and are subject to known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied. heard in these statements. Forward-looking statements can be identified by the use of words such as “anticipate”, “believe”, “estimate”, “expect”, “future”, “objective”, “intend”, “probable ‘, ‘could’, ‘plan’, ‘project’, ‘research’, ‘should’, ‘strategy’ ‘will’ and similar expressions. The main risks likely to affect the Group’s future operations are described in the “Risk management” section of the Group’s annual report and consolidated financial statements for the year ended December 31, 2021. Factors that could cause material differences between actual and future results and trends of our forward-looking statements include (but are not limited to): (i) our ability to deliver fixed-price projects consistent with customer expectations and within the parameters of our offerings, and avoid cost overruns; (ii) our ability to collect receivables, negotiate change orders and collect related revenues; (iii) our ability to recover major project costs; (iv) capital expenditures by oil and gas companies, which are affected by fluctuations in the price and demand for crude oil and natural gas; (v) unexpected delays or cancellation of projects included in our backlog; (vi) competition and price fluctuations in the markets and businesses in which we operate; (vii) the loss or deterioration of our relationship with any major customer; (viii) the outcome of legal proceedings or government investigations; (ix) uncertainties inherent in operating internationally, including economic, political and social instability, boycotts or embargoes, civil unrest, changes in foreign governmental regulations, corruption and currency fluctuations; (x) the effects of a pandemic or epidemic or natural disaster; (xi) liability to third parties for the failure of our joint venture partners to perform their obligations; (xii) changes in or our failure to comply with applicable laws and regulations (including regulatory measures relating to climate change); (xiii) operational risks, including spills, environmental damage, personal or property damage, and business interruption caused by adverse weather conditions; (xiv) equipment or mechanical failures, which could increase costs, reduce revenues and result in penalties for failure to meet project completion requirements; (xv) timely delivery of vessels ordered and timely completion of vessel conversion programs; (xvi) our ability to keep pace with technological changes and the impact of potential information technology, cybersecurity or data security breaches; and (xvii) the effectiveness of our disclosure controls and procedures and our internal control over financial reporting. Many of these factors are beyond our ability to control or predict. Given these uncertainties, you should not place undue reliance on forward-looking statements. Each forward-looking statement speaks only as of the date of this announcement. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

This information is considered as inside information in accordance with the EU Market Abuse Regulation and is subject to the disclosure requirements in accordance with section 5-12 of the Norwegian Securities Trading Act.

  • SUBC Seaway7 Funding

  • Seaway 7 ASA Funding Press Release

Carol M. Barragan