1. Fluor will divest its Zhuhai fabrication yard for $122 million. 2. The transaction is expected to close in the coming months. 3. COOEC will fully own the fabrication yard post-transaction. 4. Fluor aims to utilize COOEC facilities for future opportunities. 5. Revenue in 2024 was reported at $16.3 billion.
FAQ
Why Bullish?
The divestiture provides Fluor with significant liquidity and an opportunity for strategic focus. Historical examples show that effective asset management can enhance stock performance.
How important is it?
The divestiture enhances cash flow, vital for funding future projects. Similar strategic moves by Flur in the past have shown favorable market responses.
Why Short Term?
The immediate financial benefits from the sale can boost short-term investor confidence. Similar past transactions led to swift positive market reactions.
Related Companies
Fluor Corporation (NYSE:FLR) announced today that it has reached an agreement to divest its portion of its Zhuhai fabrication yard in China's Guangdong province to Offshore Oil Engineering Co., Ltd. (COOEC). Fluor expects to receive $122 million (¥859 million yuan) in proceeds, based on current exchange rates, when the transaction is completed in the coming months.
Following completion of the transaction, COOEC will own 100% of the fabrication yard, which will be available, along with other COOEC facilities, to support fabrication needs for future Fluor opportunities.
About Fluor Corporation
Fluor Corporation (NYSE:FLR) is building a better world by applying world-class expertise to solve its clients' greatest challenges. Fluor's nearly 27,000 employees provide professional and technical solutions that deliver safe, well-executed, capital-efficient projects to clients around the world. Fluor had revenue of $16.3 billion in 2024 and is ranked 257 among the Fortune 500 companies. With headquarters in Irving, Texas, Fluor has provided engineering, procurement, construction and maintenance services for more than a century. For more information, please visit www.fluor.com or follow Fluor on Facebook, Instagram, LinkedIn, X and YouTube.
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