Brazil's competition authority has approved the merger of Saipem and Subsea7 to create Saipem7, subject to the two offshore contractors selling the vessel Seven Borealis, Subsea 7 said on 4 November 2026.
Why Saipem S.p.A. (to be renamed Saipem7) is buying Subsea 7 S.A.
The two companies said the divestment is not expected to materially affect the strategic rationale of the combination and confirmed the synergies previously announced, which they put at about €300m a year from the third year after completion.
Deal terms and financing
The deal is a cross-border statutory merger in which Subsea7 is folded into Saipem, which will be renamed Saipem7. Subsea7 shareholders receive 6.688 Saipem shares for each Subsea7 share, plus a €450m extraordinary dividend before completion, leaving the two shareholder bases with about half of the combined group each. The combined company was described at announcement as having revenue of about €21bn, EBITDA above €2bn and a €43bn backlog.
Regulatory approvals and timing
The CADE tribunal's approval is subject to commitments in a merger control agreement, including the sale of Seven Borealis and provisions to keep existing projects on track. Shareholders of both companies have approved the common merger plan; the companies said they would keep working with the relevant authorities to satisfy or waive the remaining conditions. Brazilian oil producers including Petrobras and Exxon had asked CADE to scrutinise the deal, and Brazil's association of exploration and production companies appealed an earlier unconditional clearance by CADE's general superintendence.
Market context
Saipem and Subsea7 first announced the plan in February 2025. A day after the CADE decision, Subsea7 agreed to sell Seaway7's heavy transportation business to HEA Energy, the disposal permitted under the merger agreement.
