Weatherford shares plummet after company scraps OneStim venture

January 2, 2018 | Reuters

HOUSTON - Shares of Weatherford International Plc (WFT.N) fell 18 percent on Tuesday after the oilfield services company abandoned a proposed joint venture with Schlumberger (SLB.N) and instead sold its hydraulic fracturing business to Schlumberger, a bigger rival.

The deal with Schlumberger, worth $430 million, gave Weatherford roughly $100 million less than originally anticipated from the two companies’ planned OneStim joint venture.

Weatherford has suffered steep losses since the 2014 oil price downturn and has said it plans to sell units to raise cash and reduce its $7.9 billion in debt.

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A Jumbo Joint Venture: Michelin and Sumitomo's TBC

January 3, 2018 | Modern Tire Dealer

Michelin has bought a 50% stake in Sumitomo's TBC. As one part of the deal the two parties are combining their tire distribution systems in North America.

Michelin and Sumitomo say the joint venture will provide better availability of tire products at all price points across North America, achieving greater scale in wholesale delivery for customers. The JV also will enable the two companies to enhance service quality, capacity and speed for customers.

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Mexichem JV won't restart unit after deadly 2016 explosion

January 4, 2018 | Plsatic News

A Mexican materials joint venture has decided not to rebuild its unit making plastics feedstocks vinyl chloride monomer and ethylene that was the site of a deadly explosion in 2016.

The decision was announced Dec. 20 by the board of directors of Petroquimica Mexicana de Vinilo SA de CV. PMV is a joint venture between Mexican materials firm Mexichem SAB de CV and PPQ Cadena Productiva SL. PPQ is a unit of state-run materials supplier Pemex Etileno.

The explosion in April 2016 at Pemex's Pajaritos complex in the state of Veracruz resulted in 32 deaths and more than 100 injuries. The VCM/ethylene unit, with combined annual capacity of almost 375 million pounds, has been closed since the explosion.

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Boeing to form joint venture with Adient to develop airplane seats

January 16, 2018 | CNBC

Boeing and Adient have agreed to form a joint venture to develop and manufacture airplane seats, the companies said Tuesday, a deal that could give the aerospace giant a greater footprint in outfitting record numbers of airplanes its selling.

Boeing, the largest aerospace company in the world, is teaming up with Adient, which is better known for manufacturing automotive seats. Boeing will have a minority stake of 49.99 percent in the venture, it said.

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New CEO and Co-CEO to lead MHI Vestas Offshore Wind's Expansion

January 17, 2018 | Energy Harvesting Journal

Mitsubishi Heavy Industries (MHI) and Vestas Wind Systems (Vestas) are pleased to appoint Philippe Kavafyan to Chief Executive Officer (CEO) and Lars Bondo Krogsgaard to Co-Chief Executive Officer (Co-CEO) of MHI Vestas Offshore Wind. The appointments will take effect on 1 April, 2018, and are made in accordance with the joint venture agreement's principle of changing its leadership every four years.

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Ingersoll Rand Enters into Agreement with Mitsubishi Electric: Message from Dave Regnery, Executive Vice President

January 18, 2018 | Ingersoll Rand

Ingersoll Rand and Mitsubishi Electric US, Inc. will have equal ownership in the joint venture, which will operate independently from both companies. A CEO will be named from Mitsubishi Electric and a CFO from Ingersoll Rand. Mitsubishi Electric will transfer employees to the joint venture. Ingersoll Rand channels and sales employees are not part of the joint venture, but will have the ability to sell ductless products through Ingersoll Rand channels.

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Statoil, YPF Finalize Joint Vaca Muerta Development Deal

January 19, 2018 | Oil Price

Norway’s Statoil and Argentine YPF have finalized a deal for the joint development of a block in the Vaca Muerta shale oil and gas play, the second-largest in the world. Under the deal, the partners will each take a 50-percent interest in the 38,800-acre Bajo del Toro block, with YPF acting as the operator.

The deal, which was first announced last August, is Statoil’s first project in Argentina. Under its terms, Statoil will pay YPF US$30 million to cover the costs the Argentine company has already incurred with relation to the block, and also pledge US$270 million for future capital expenditure.

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Total to join Kenya’s oil venture

January 23, 2018 | Citizen Digital

French oil giant Total SA is set to become the latest partner in Kenya’s quest to become an oil producing nation.

The oil company is set to acquire shares in three oil blocks currently held by AP Moeller-Maersk.

This will see Total become part of a joint venture deal aimed at commercializing the country’s 750 million barrels of crude oil that have so far been estimated.

“Kenya is optimistic that the entry of Total into the Kenya joint venture will strengthen the financial resources and technical competence to the joint venture and this will go a long way in accelerating the development of the resources in these blocks,” Statehouse Spokesman Manoh Esipisu said in a statement following a meeting between President Uhuru Kenyatta and Total SA executives.

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Cargill and Faccenda unveil new poultry joint venture Avara Foods

January 30, 2018 | Food Bev

A poultry joint venture between Cargill’s fresh chicken unit in the UK and Faccenda’s fresh chicken, turkey and duck business has been unveiled as Avara Foods.

With 6,000 employees, Avara will be a standalone business operating across multiple agricultural and operational centres. Both Cargill and Faccenda own a 50% stake in the company.

Faccenda, which supplies meat to the UK’s retail and foodservice sectors, processes more than 100 million chickens and turkeys a year with turnover of £500 million.

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DSM, Evonik establish Veramaris joint venture

Jan 30, 2018 | Feedstuffs 

DSM and Evonik have established a new company, Veramaris V.O.F., for the production of the omega-3 fatty acids eicosapentaenoic acid (EPA) and docosahexaenoic acid (DHA) from natural marine algae for animal nutrition, according to a Jan. 30 announcement. The 50/50 joint venture is headquartered at the DSM Biotech Campus in Delft, Netherlands.

Veramaris’s breakthrough innovation — an algal oil — will, for the first time, enable the production of the essential omega-3 fatty acids EPA and DHA for animal nutrition without using fish oil from wild-caught fish, which is a finite resource, the companies said. DSM and Evonik announced their intention to start this joint venture in March 2017. Since then, all necessary approvals have been received.

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Amazon, Berkshire Hathaway and JPMorgan Team Up to Try to Disrupt Health Care

January 30, 2018 | The New York Times 

Three corporate behemoths — Amazon, Berkshire Hathaway and JPMorgan Chase — announced on Tuesday that they would form an independent health care company for their employees in the United States.

The alliance was a sign of just how frustrated American businesses are with the state of the nation’s health care system and the rapidly spiraling cost of medical treatment. It also caused further turmoil in an industry reeling from attempts by new players to attack a notoriously inefficient, intractable web of doctors, hospitals, insurers and pharmaceutical companies.

It was unclear how extensively the three partners would overhaul their employees’ existing health coverage — whether they would simply help workers find a local doctor, steer employees to online medical advice or use their muscle to negotiate lower prices for drugs and procedures. While the alliance will apply only to their employees, these corporations are so closely watched that whatever successes they have could become models for other businesses.

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FUJIFILM Holdings and Xerox Announce Agreement to Combine Fuji Xerox Joint Venture with Xerox

January 31, 2018 | FUJIFILM

FUJIFILM Holdings Corporation (“Fujifilm”) (TSE: 4901) and Xerox Corporation (“Xerox”) (NYSE: XRX) today announced that they have entered into a definitive agreement to combine Xerox and their longstanding Fuji Xerox joint venture. The combined company will be a global leader in innovative print technologies and intelligent work solutions with annual revenues of $18 billion and leadership positions in key geographic regions.

This proposed combination provides Xerox shareholders with significant cash at closing, as well as a substantial interest in the significantly enhanced combined company. Under the terms of the agreement, Xerox shareholders will receive a $2.5 billion special cash dividend, or approximately $9.80 per share(*1), funded from the combined company’s balance sheet, and own 49.9% of the combined company at closing. The cash dividend represents more than 30% of Xerox’s unaffected share price of $30.35 based on closing share price as of January 10, 2018. Fujifilm will own 50.1% of the combined company and provide important operational support and transformational leadership.

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