Saipem and Subsea7 have entered into a binding merger agreement, confirming the terms outlined in the Memorandum of Understanding signed on 23 February 2025. The combined company, to be named Saipem7. Saipem7 will benefit from complementary capabilities, technologies and geographic reach. No single country is expected to account for more than 15% of the combined backlog. The merged group will also consolidate its vessel fleet and technical portfolio across energy markets.
The proposed company will have estimated revenue of approximately €21 billion, earnings before interest, tax, depreciation and amortisation (EBITDA) of over €2 billion, and free cash flow exceeding €800 million. The combined order backlog is expected to reach €43 billion. Upon completion, shareholders of Saipem and Subsea7 will each own 50% of Saipem7. Subsea7 shareholders will receive 6.688 new Saipem shares for every Subsea7 share held. Immediately prior to completion, Subsea7 will distribute an extraordinary dividend of €450 million to its shareholders. Annual cost synergies are estimated at around €300 million. Saipem7 will be incorporated in Italy, with its headquarters in Milan and shares listed on both the Milan and Oslo stock exchanges.
The transaction is supported by key shareholders including Eni, CDP Equity and Siem Industries, who have entered into a shareholder agreement and committed to vote in favour of the merger. Eni and CDP Equity will nominate Saipem7’s Chief Executive Officer, while Siem Industries will nominate the Chair of the Board.
Subject to completion, Kristian Siem is expected to be appointed Chair of Saipem7, and Alessandro Puliti will be named Chief Executive Officer. Additionally, Puliti and John Evans will lead a newly structured Offshore Engineering & Construction business unit, which will operate as a fully owned but operationally autonomous company named Subsea7. This unit will include all current Subsea7 operations and Saipem’s Asset Based Services business, including offshore wind. It will be branded “Subsea7, a Saipem7 Company”.
The group will be structured into four business areas: Offshore Engineering & Construction (under Subsea7), Onshore Engineering & Construction, Sustainable Infrastructures and Drilling Offshore.
Subsea7 will be incorporated in the UK and headquartered in London. Following completion, it will be governed by a seven-member board comprising Alessandro Puliti (Chair), John Evans (Chief Executive), Kristian Siem, and four independent directors.
