Halycon Offshore, the Singapore-headquartered integrated engineering and construction services provider for the offshore oil & gas industry, says it has signed a sales and purchase agreement to acquire the entire issued and paid-up capital of Cables International and its subsidiaries from SGX-listed King Wan Corporation and Cables International’s management for $30 million.

The consideration will be a combination of cash and shares in Halcyon Energy Corporation (HEC), the holding company of Halcyon Offshore.

Cables International is a Singapore-based leading distributor of specialised offshore cables and related products with operating subsidiaries in Malaysia and Australia. A well- reputed and established player, Cables International supplies owners/operators of offshore rigs, support vessels and FPSOs, as well as shipyards, with electrical and communication cables. Cables International generated net profit after tax (NPAT) of $5.1 million for the financial year ending 31 December 2009.

Under the agreement, the existing management shareholders of Cables International, namely CEO and founder Peter Ong; Executive Director and founder Brian Sweeney; and Managing Director of Malaysia operations Redzwan Gunasegar, will receive HEC shares as part consideration of the sale and join Halcyon Offshore’s management team.

Upon the completion of the acquisition in September, Cables International will become Halcyon Offshore’s fourth business unit of Offshore Electrical & Controls. Halcyon Offshore’s existing three business units are Offshore & Marine Equipments, which designs and supplies winches, cranes and other hydraulic products and services to vessel owners and shipyards; Offshore & Marine Accommodation, which offers interior architectural design and outfitting services to vessels; and Offshore Construction & Fabrication, which offers niche steel fabrication and construction services catering to high-end offshore requirements.

The Cables International acquisition follows close on the heels of Halcyon Offshore’s purchase of Vantage Engineering, a Singapore-based specialist service provider of mobilisation and demobilisation of offshore assets, in May.