Catalist-listed Viking Offshore and Marine says it plans to buy controlling stakes in two companies for a combined $29.8 million to bolster its suite of specialised offshore and marine (O&M) business.

Viking will pay $22.3 million for the entire share capital in Promoter Hydraulics Distributor, Singapore’s largest wholesaler of winches, power packs and marine decking equipment.

Promoter Hydraulics sources components overseas and designs, fabricates and assembles them into finished products for vessel owners and vessels’ project contractors/integrators.

Viking will pay a first tranche of $10 million in cash upon completion of the acquisition, followed by a second tranche of $8 million in cash and new Viking shares worth $4.25 million by January 2011.

In the second acquisition, Viking will pay $7.5 million for an initial 55%-stake in Marine Accomm — Singapore’s largest turnkey project integrator of accommodation and fit-out for the O&M industry.

Viking has a put-and-call option which, if exercised, will result in the acquisition of the remaining 45% in the next two years based on an earned-out model.

Incorporated in 1990, homegrown Marine Accomm offers turnkey engineering and design for accommodation and interiors of ships and offshore living quarters across South East Asia, China, and the Middle East.

For FY2009, Marine Accomm recorded an estimated turnover of $61 million. Its revenue for the past four years averaged $51 million.

The acquisitions are expected to raise Viking’s revenue significantly for the financial year ending 31 December 2010 (FY2010).