PGS has sold the fiber optic permanent reservoir monitoring solution, OptoSeis to Geospace Technologies.
Terms of the transaction include an initial cash payment at closing of $1.8 million and contingent cash payments of up to an additional $23.2 million over a five-and-a-half year earn-out period.
The contingent cash payments will be derived from revenues generated during the earn-out period from products and services utilizing the OptoSeis® fiber optic technology.
“After reorganizing during the fourth quarter 2017, we started exploring opportunities to divest our non-core OptoSeis technology early 2018. I am pleased that Geospace will continue to offer this unique solution to clients. PGS looks forward to support and complement Geospace’s offering with survey planning, imaging and acquisition services as and when required by their customers,” says President & CEO Rune Olav Pedersen.
Pareto Securities acted as financial adviser to PGS in this transaction.