The acquisition of International Offshore Services aims to capitalize on opportunities in the fragmented shallow Gulf of Mexico oil and gas market by leveraging the company's strong market position and recurring revenue streams.

Target Information

International Offshore Services (IOS), headquartered in Larose, Louisiana, operates primarily in the marine delivery and construction sectors of the oil and gas industry. The company generates 34% of its revenue from marine delivery services and 66% from construction activities. IOS provides services to oil and gas platforms located in the Gulf of Mexico (GOM), particularly focusing on those in the shallow waters, defined as operations in less than 400 feet of depth using vessels shorter than 200 feet. With a fleet of 49 vessels, IOS holds a significant position in a highly regulated and fragmented market.

The shallow Gulf of Mexico serves approximately 120 vessels similar to IOS’s fleet, showcasing the highly competitive nature of this niche market. As a leader in this segment, IOS commands the largest share of shallow GOM capacity, positioning itself as a key player within a domain characterized by a mix of small, independent operators. The company benefits from recurring revenue dynamics, producing reliable income streams that enhance its financial stability.

Industry Overview

The oil and gas industry in the Gulf of Mexico remains a vital component of the United States' energy landscape. This region is known for its substantial oil and natural gas reserves, contributing significantly to domestic productio