Hornbeck Offshore May Sell Tug and Barge Business

Hornbeck Offshore May Sell Tug and Barge Business

Oilfield services company Hornbeck Offshore Services Inc. may sell all or part of its stake in its downstream tug and tank barge unit.

The company hired JP Morgan Securities Inc. to help it assess various options for the division, which may include a possible sale, adding to the business through acquisitions or consolidation and other possible restructuring actions.

Chairman, President and Chief Executive Todd M. Hornbeck said in a statement that the unit has been a stable source of cash flow and that no decision has been made yet on the future of the business.

Capital One Southcoast analyst Kelly Chancey thinks selling the unit would be a good move for Hornbeck, allowing it to focus more on new-build offshore service vessels and multipurpose service vessels.

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