RigNet to Acquire TECNOR, a Mexican Remote Communications Provider
HOUSTON, Nov. 04, 2015 (GLOBE NEWSWIRE) -- RigNet, Inc. (NASDAQ:RNET), a leading global provider of managed remote communications solutions, telecoms systems integration services and collaborative applications to the oil and gas industry, today announced it has signed a definitive agreement under which it will acquire Orgtec S.A.P.I. de C.V., d.b.a. TECNOR. Both companies have approved the transaction, which is expected to close in early 2016, subject to customary closing conditions and regulatory approvals.
“The opening up of Mexico’s energy market to foreign investment and expertise has been the primary catalyst for this transaction, as it strengthens RigNet’s local presence and know-how to serve the oil and gas market while also positioning RigNet in other end vertical markets within Mexico,” said Mark Slaughter, RigNet’s CEO and President. “Longer term, this acquisition will augment RigNet’s existing presence in Latin America, allowing for more rapid expansion across the region.”
“TECNOR is a premier provider of remote communications and SCADA solutions in Mexico, with established relationships with key oil and gas and governmental customers,” said Santiago Zubiria, TECNOR’s CEO and President. “The combined businesses should accelerate revenue growth and offer a wider array of solutions in Mexico initially and further into Latin America over time.”
About TECNOR Orgtec S.A.P.I. de C.V., d.b.a. TECNOR, founded in 2002, provides telecommunications solutions for remote sites on land, sea and air, including a wide array of equipment, voice and data services, satellite coverage and bandwidth options in Mexico. These services are provided to industrial, commercial and private users in diverse activity segments from mission critical armed forces and oil and gas operations, to commercial fishing and leisure boats. TECNOR is based in Monterrey, Mexico. For additional information, please visit www.tec-nor.com.
About RigNet RigNet (NASDAQ:RNET) is a leading global provider of managed remote communications, telecoms systems integration and collaborative applications dedicated to the oil and gas industry, focusing on offshore and onshore drilling rigs, energy production facilities and energy maritime vessels. RigNet provides solutions ranging from fully-managed voice and data networks to more advanced applications that include video conferencing and real-time data services to over 1,100 remote sites in fifty countries on six continents, effectively spanning the drilling and production industry. RigNet is based in Houston, Texas. For additional information, please visit www.rig.net. RigNet is a registered trademark of RigNet, Inc.
Forward Looking Statements This press release includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995 — that is, statements related to the future, not past, events. Forward-looking statements are based on the current expectations and include any statement that does not directly relate to a current or historical fact. In this context, forward-looking statements often address our expected future business and financial performance, and often contain words such as "anticipate," "believe," "intend," "expect," "plan" or other similar words. These forward-looking statements involve certain risks and uncertainties that ultimately may not prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. The information regarding the past financial performance of TECNOR and RigNet’s expectations regarding the future performance of that business is based upon unaudited pro forma financial information provided TECNOR. Such financial information does not necessarily reflect what the business’ financial results would have been on a stand-alone basis or what those results may be in the future as part of RigNet. RigNet’s expectations regarding the future performance of this business is subject to all of the usual risks associated with an acquisition of this type, including RigNet’s ability to successfully integrate this new business into its own, as well as the risks associated with this business and the industry in general. In addition, if there are lengthy delays in obtaining regulatory approvals for any reason, our expectations regarding the future results of the business may be negatively impacted. For further discussion of risks and uncertainties, individuals should refer to RigNet's SEC filings. RigNet undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement.
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(November 4, 2015 - 9:01 AM EST)
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