Tidewater Inc. (NYSE:TDW) Q1 2023 Earnings Conference Call May 9, 2023 9:00 AM ET

Company Participants

West Gotcher - Vice President of Finance, IR

Quintin Kneen - President & CEO

Piers Middleton - VP, Sales & Marketing

Sam Rubio - CFO

Conference Call Participants

Ina Golikja - Fearnley Securities

Operator

Ladies and gentlemen, thank you for standing by. My name is Brent, and I will be your conference operator today. At this time, I would like to welcome everyone to the Tidewater Incorporated. First Quarter 2023 Earnings Conference Call. [Operator Instructions]

It is now my pleasure to turn today's call over to Mr. West Gotcher, Vice President of Finance and Investor Relations. Sir, please go ahead.

West Gotcher

Thank you, Brent. Good morning, everyone, and welcome to Tidewater's Q1 2023 Earnings Conference Call. I'm joined on the call this morning by our President and CEO, Quintin Kneen; our Chief Financial Officer, Sam Rubio; and our Chief Commercial Officer, Piers Middleton.

During today's call, we'll make certain statements that are forward-looking and referring to our plans and expectations. There are risks and uncertainties and other factors that may cause the company's actual performance to be materially different from that stated or implied by any comment that we are making during today's conference call.

Please refer to our most recent Form 10-K and 10-Q for additional details on these factors. These documents are available on our website at tdw.com or through the SEC at sec.gov. Information presented on this call speaks only as of today, May 9, 2023, and therefore, you're advised that any time-sensitive information may no longer be accurate at the time of replay.

Also during the call, we'll present both GAAP and non-GAAP financial measures. A reconciliation of GAAP to non-GAAP financial measures can be found on our website at tdw.com and is included in yesterday's press release. And now with that, I'll turn the call over to Quintin.

Quintin Kneen

Thank you, West. Good morning, everyone, and welcome to the first quarter 2023 Tidewater Earnings Conference Call. Before we get into the quarterly results, I want to start out the call by briefly updating you on our recently announced agreement to acquire 37 highest classification PSVs from Solstad Offshore and our assessment of the recent market volatility on the outlook for our industry.

As we talked about on the call we hosted to announce the acquisition, we are acquiring the Solstad PSV fleet for $577 million. We mentioned that we plan to finance the purchase of the acquisition through a $325 million bank facility led by DNB, incremental new debt and cash on hand. We continue to monitor the commercial banking and debt capital alternatives to optimize the cost of capital and financial flexibility. We are confident in our ability to finance the acquisition and expect the acquisition to close by the end of the second quarter.