HOUSTON, April 8, 2013 /PRNewswire/ -- DeepFlex, the world's only manufacturer of premium unbonded composite flexible pipe used in challenging subsea oil and gas production environments, announced today that it has entered into a significant funding agreement with funds co-managed by two of Brazil's leading private equity firms, Mare Investimentos and Mantiq Investimentos. Additional funding is also being provided by existing investors AEM Capital and Promon International of Brazil and Energy Ventures, Klaveness Marine, and Mobelmagasinet Tvedt of Norway.
The combined equity investment from both new and existing investors will support DeepFlex's strategic development plan to establish a manufacturing center in Brazil, where the Company recently opened an office staffed by experienced business development and technical personnel. The Brazilian market represents over 65% of the worldwide demand for unbonded flexible pipe used in offshore production and this expansion plan will allow DeepFlex to serve this key market as well as satisfy local content objectives. The use of proceeds will also fund an expansion of the Company's U.S. manufacturing capability to support existing backlog and an expanding order book.
Mike Kearney, President and CEO of DeepFlex, said: "As DeepFlex continues to build momentum in the flexible pipe marketplace, we are pleased to secure the funding necessary to expand the Company's global market reach, in particular, serving the world's single largest market. The capital transaction we are announcing today will transform DeepFlex into a company with substantial flexible pipe manufacturing capacity and engineering capabilities to serve all major offshore production markets. We appreciate the commitment of our employees, the ongoing support of our current investors and welcome Mare and Mantiq to the DeepFlex team."
With offices in the United States and Brazil, DeepFlex designs and manufactures premium composite flexible pipe for use in the subsea oil and gas production environment. As the world's only manufacturer of unbonded composite flexible pipe for deepwater applications, the patented DeepFlex products are lighter, less costly to install, and do not suffer the corrosive effects of harsh environment service. In addition, the DeepFlex technical staff assists customers with the design of their subsea production configurations. DeepFlex was established in 2004 and is growing rapidly to meet the needs of oil and gas companies working in the world's major offshore producing regions. Additional information on the Company can be found at www.deepflex.com.
About Mare Investimentos:
Mare Investimentos is a private equity fund manager founded in 2009 by executives with significant experience in oil and gas, natural resources and financial companies, focused on investing in the supply chain of goods and services for the oil and gas business.
About Mantiq Investimentos:
Mantiq Investimentos, a subsidiary of Banco Santander Brasil, is a private equity fund manager focused on infrastructure and oil and gas services, with USD 1.2 billion in assets under management. Mantiq is backed by some of the largest Brazilian institutional investors and its portfolio includes investments in renewable power generation, water, sewage, environmental services, and toll roads. Notably, Mantiq manages a large equity stake in Renova Energia, the largest wind power company in Brazil.
About The Funds:
Mantiq and Mare co-manage the funds Brasil Petroleo 1 & 2, with aggregated capital commitments of USD 370 million. Its investors are large Brazilian institutions, primarily pension funds, and high net worth individuals. DeepFlex is the first investment of the Brasil Petroleo funds.
Contact: Brittlyn Pohl
SOURCE DeepFlex, Inc.