Cyan Renewables Acquires MMA Offshore for $702 Million

Cyan Renewables, Asia’s leading offshore wind services operator based in Singapore, today announced its acquisition of Australian offshore marine services provider MMA Offshore (ASX:MRM) for USD 702 million.

The transaction marks the Asia Pacific (APAC) region’s largest take-private deal in the offshore wind energy services industry, strengthening Cyan’s position in the region and underscoring the sector’s crucial role in achieving net zero goals.

MMA shareholders will receive USD 1.78 per share in cash, representing a 36% premium over the 90-day volume-weighted average share price, with an EV/EBITDA ratio of 6.2x.

“The new deal is transformative and reflects our ability to build and create platforms from scratch, spanning from Asia to Europe. With Cyan’s acquisition of Sentinel in the UK and now MMA in Australia, we are rapidly establishing world-class leaders in new, fast-growing sectors,” said James Chern, Managing Partner and CIO of Seraya Partners, Cyan’s main investor.

The acquisition was supported by co-investors, including the Alberta Investment Management Corporation (AIMCo), which participated through its investment in Cyan. AIMCo opened its Singapore office in September 2023.

“As a clear market leader, Cyan is strategically positioned to benefit from the growing offshore wind and marine protection sectors, and this acquisition positions it as an important catalyst in the ‘blue-to-green’ transition of this space,” said Ben Hawkins, AIMCo’s Executive Managing Director, Global Head of Infrastructure, Renewable Resources and Energy Transition.

Lee Keng Lin, CEO of Cyan Renewables, said that the acquisition of MMA enhances their leadership in the renewable energy sector, particularly in the offshore wind industry and energy transition, by expanding their expertise and presence in key markets like Australia and the Asia-Pacific region. “The acquisition of MMA is a significant milestone for our future as a leader in the renewable energy space,” he said.

Cyan plans to retain MMA’s workforce and expand its expertise to penetrate the global and Asian offshore wind support services market. The company will support existing clients in offshore energy and maritime industries while pursuing growth through mergers, acquisitions, and organic expansion.

MMA’s leadership in Australia, with its fleet of 20 offshore vessels, will enhance Cyan’s presence in the Asia Pacific region. MMA will leverage Cyan as a capital partner and benefit from Cyan’s offshore wind farm expertise in installation, operations, and maintenance to improve service offerings and operational efficiencies.

David Ross, Managing Director of MMA, said, “We are excited to be part of the Cyan Group to accelerate progress in achieving net zero goals in the maritime industry. Cyan’s expertise in offshore wind farms and investment capability, combined with our best-in-class maritime and offshore solutions, will foster innovation and operational excellence, accelerating the energy transition.”

The deal comes amid increasing demand to adopt renewable and clean energy. The increasing demand for renewable energy is driving growth in the wind farm market, projected to expand at a CAGR of 21.4% from 2024 to 2034. The global demand for vessels in the offshore wind sector is expected to outpace supply, especially with the rise in average turbine size, some reaching up to 15MW.

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