OTG provides critical training, compliance, operational, and HR software to over 1,000 shipowners and operators and over one million seafarers around the world. LR will now be able to offer OTG’s solutions across a combined fleet of over 30,000 vessels.
Acquiring OTG represents a significant milestone in LR’s journey to become a leading provider of digital solutions for the maritime industry and follows the acquisitions of OneOcean in 2022 and the purchase of a 50% stake alongside the International Chamber of Shipping (ICS) in ISF Watchkeeper in 2023.
The International Maritime Organization (IMO) revised its Greenhouse Gas strategy last year to include a common ambition to reach net-zero GHG emissions from international shipping by or around 2050 and a commitment to ensure uptake of alternative zero and near-zero GHG fuels by 2030. In a report commissioned by the Maritime Just Transition Taskforce, it was estimated that up to 800,000 seafarers will require training on alternative fuels and new engines by the mid-2030s to cope with this need.
This acquisition will allow LR to provide a complete end-to-end energy transition solution for clients, from advisory and feasibility studies on alternative fuels to the training and development of seafarers on the handling and use of those fuels.
LR’s aim is to combine OTG with its fast-growing digital business, LR OneOcean, to create one of the largest software platforms in maritime and to help accelerate the digital transformation of the industry.
Nick Brown, Chief Executive Officer of LR, said: “This is a really transformative acquisition for LR and our clients and reinforces our focus on maritime. For over 260 years, we have provided trusted advice on the safety and performance of assets and vessels.
“The purchase of OneOcean in 2022 gave us the digital capability to support and optimize the safe and compliant operations of vessels, and now, with the acquisition of OTG, we will be able to provide a strategic approach to attracting, developing, managing, and retaining maritime professionals at sea and ashore.
“It also complements perfectly the acquisition of the stake in ISF Watchkeeper, allowing us to advise owners and operators when to deploy training at the most optimum time for competency development onboard.”
Thomas Zanzinger, CEO of OTG, added: “Becoming a part of Lloyd’s Register is a great opportunity to further extend our global leadership in maritime, which we have built with the support of Oakley. It allows us to rapidly expand our capabilities within an organization that aligns perfectly with our mission, vision, and values as we support our industry toward a digital and sustainable future. Key to that future is the ability to unlock the potential of our people through investing in Human Capital Management and harnessing technological innovation across vessel operations. I am truly excited to unlock the potential of what this combination of our highly trusted brands can achieve together for our clients.”
Completion of the acquisition is subject to obtaining customary regulatory approvals and is expected to take place in the fourth quarter of 2024.
J.P. Morgan acted as Exclusive Financial Advisor, and Freshfields Bruckhaus Deringer LLP acted as Legal Adviser to Lloyds’ Register Group on its acquisition of Ocean Technologies Group.
Furthermore, J.P. Morgan acted as Sole Physical Bookrunner, Mandated Lead Arranger, and Sole Global Coordinator, as well as provided a Direct Lending financing package to support Lloyd’s Register Group’s acquisition of Ocean Technologies Group.
