Sophia Capital has sold its 60% stake in Socotherm Group to ShawCor for approximately CAD 135 million, allowing ShawCor to consolidate its position in the pipeline services industry.

Target Information

Sophia Capital has finalized a share purchase agreement to divest its 60% stake in Socotherm Group to ShawCor Canada Holdings Limited for approximately CAD 135 million. This transaction grants ShawCor full ownership, consolidating its control over Fineglade Ltd., the holding entity for the Socotherm Group. Socotherm is recognized as a global leader in the pipe coating industry, primarily servicing the oil and gas sectors across key regions, including Italy, the USA, West Africa, and Latin America.

Under the management of its current team, Socotherm has experienced a significant turnaround since its acquisition out of pre-bankruptcy proceedings. The organization has established itself as the foremost company in flow assurance, a crucial aspect of pipeline integrity and operation. With this acquisition, Socotherm is poised to enhance its market position and innovate in coating technologies that set new benchmarks for flow assurance.

Industry Overview

The global oil and gas industry is a critical sector for many economies, driving substantial investment and technological advancements. In Canada, where ShawCor is based, the energy services ecosystem is robust, comprising numerous companies that