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Tidewater set to acquire Brazilian fleet in US$500M swoop
One of the largest OSV owners has reached an agreement with shareholders to acquire a fleet in Brazil, one of the most vibrant markets in the offshore sector
Tidewater has entered into a definitive agreement to acquire all the outstanding shares of Wilson Sons Ultratug and its affiliate Atlantic Offshore Services in a US$500M deal.
The Houston, US-headquartered offshore support vessel and tugboat owner will increase its global fleet and cement its position in one of the most vibrant markets in this sector through this transaction.
Wilson Sons Ultratug, which is a joint venture between Brazil’s Wilson Sons and Chile-headquartered Ultratug, owns 22 platform supply vessels (PSVs) supporting Brazil’s booming offshore oil and gas industry.
Their addition will bring Tidewater’s global fleet to 231 vessels, including PSVs, anchor handlers, crew boats, tugboats and maintenance vessels.
Tidewater operates just six vessels in Brazil, but will run a fleet of 28 after the transaction, which the US owner said would provide meaningful scale and the operational capability required to support the continued growth of the Brazilian offshore energy market.
“The agreement to acquire Wilson Sons Ultratug marks yet another important milestone in the continued evolution of Tidewater,” said Tidewater president and chief executive Quintin Kneen.
“The Brazilian offshore vessel market is one of the largest and most compelling in the world, and the addition of Wilson Sons Ultratug to the Tidewater fleet will enhance our presence in the country.”
The transaction comes after Mr Kneen called on the OSV sector to partner and merge resources instead of ordering newbuilds from shipyards in a keynote presentation at Riviera’s Annual Offshore Support Journal Conference, Exhibition & Awards, held in London, UK in early February 2026.
During his presentation, an OSV owner panel debate and video interview, Mr Kneen hinted at Tidewater making more mergers and acquisitions in 2026 to gain economies of scale and maximise earnings from vessel fleets.
Purchasing Wilson Sons Ultratug will make Tidewater one of the main providers of Brazilian-built PSVs, as 19 of the company’s fleet are Brazilian-built, which receive priority over international tonnage to operate in Brazil.
Owning this fleet will also enable Tidewater to import international-flagged vessels into Brazil under the Brazilian Special Registry.
Wilson Sons Ultratug has a backlog of around US$447M, and many of its current vessel charters are “on day rates materially lower than current market day rates”, said Tidewater.
The US owner expects day rates and fleet earnings to improve when energy companies renew contracts.
“As of today, 21 of Wilson Sons Ultratug’s 22 vessels are active and working in Brazil, allowing Tidewater to commercialise this new asset base,” said Mr Kneen. “As we have surveyed the world and evaluated different regions, Brazil stands out as perhaps the most attractive to Tidewater,” he said.
“The scale of the offshore industry in Brazil, and in particular the offshore vessel industry, is one of the best in the world, and we believe the long-term fundamentals for this market are highly favourable.”
Brazil’s offshore industry growth is mainly down to energy majors and state-backed Petrobras developing huge oil and gas fields with networks of subsea infrastructure linked to floating production systems.
“Considering the long-term supply and demand for offshore vessels in Brazil, as well as the potential to introduce international tonnage, this transaction provides Tidewater with a compelling opportunity to capitalise on these dynamics,” said Mr Kneen. “Brazil stands out as perhaps the most attractive to Tidewater”.
“Assuming the transaction closes at the end of Q2 2026, we expect the Wilson Sons Ultratug business to generate approximately US$220M of revenue and generate a gross margin of about 58% over the first 12 months.”
In the Wilson Sons Ultratug transaction, Tidewater expects to incur US$14M in expenses and take on the company’s debt, which was around US$261M as of 30 September 2025.
“Following the successful refinancing transactions executed during Q3 2025, and now the Wilson Sons Ultratug acquisition, we have executed a series of steps that have positioned Tidewater as one of the world’s leading OSV operators with what we believe to be the strongest balance sheet in the industry,” said Mr Kneen.
“We will have a net leverage ratio below 1.0x, which, when combined with substantial near-term free cash generation, will provide for continued flexibility to pursue additional capital deployment opportunities.”
The Wilson Sons Ultratug transaction was unanimously approved by Tidewater’s board of directors and is expected to close in June 2026, subject to required regulatory approvals and other customary closing conditions, including approval from the Brazilian Antitrust Authority.
Riviera’s Offshore Support Journal Conference, Brazil, will be held in Rio de Janeiro on 13-14 October 2026. Use this link for more information and to register for the event.
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