Technip SA and FMC Technologies Inc. agreed to merge in an all-stock deal, creating a $13 billion oil-services company following the worst crude-market collapse in a generation.
The combination will give Technip investors two shares in the new business for every Technip share held, while FMC investors will get one, the companies said Thursday. They expect the tie-up to deliver at least $400 million in annual pretax savings in 2019.
The new entity, TechnipFMC, will be listed in Paris and New York, according to a joint statement. Technip Chief Executive Officer Thierry Pilenko will be executive chairman while Doug Pferdehirt, president and chief operating officer of FMC, will serve as CEO. Each company’s shareholders will own close to 50 percent of the combined group, based in Paris, Houston and London.
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