(Bloomberg) -- Helix Energy Solutions Group Inc. is exploring strategic options, including a potential sale, people familiar with the matter said.
The Houston-based offshore drilling services provider is working with advisers to gauge interest from potential buyers, according to the people, who asked not to be identified discussing confidential information.
Shares in Helix rose as much as 10.4% on Thursday. The stock was up 3.1% at 11:41 a.m. in New York, giving the company a market value of about $1.8 billion.
Deliberations are in the early stages and there’s no certainty that Helix will decide to pursue a sale, they said. A representative for Helix didn’t respond to requests for comment.
Helix is an offshore contractor that primarily offers a fleet of vessels for so-called well intervention, which allows workers to go back into existing wells for maintenance. The company covers the Gulf of Mexico, US East Coast, Brazil, North Sea, Asia Pacific and West Africa regions, according to its website.
Major oil field service companies have been pivoting to more work in international and offshore fields amid a slowdown in US shale activity brought on in part by industry consolidation. Since bottoming out in 2021, offshore oil producers have increased upstream spending by almost 50%, according to Raymond James & Associates. Further growth is expected through at least 2027, especially on the deepwater side.
In April, oil field service provider SLB agreed to acquire rival ChampionX Corp. for $7.8 billion. In a presentation at the time, SLB cited Rystad Energy data that showed oil producers are spending more on operating and maintaining wells and less on drilling and fracking.
(Updates shares, market cap in third paragraph.)
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