GSE Solutions stockholders approve $4.6 per share buyout by Pelican Energy Partners

GSE Solutions, a leader in engineering solutions supporting clean energy, announced that its stockholders have overwhelmingly approved a merger with Pelican Energy Partners, a private equity firm specializing in energy services. According to the merger terms, Pelican Energy Partners will acquire all outstanding GSE Solutions shares for $4.60 each, representing a significant premium over recent share prices. The merger, set to close on October 31, 2024, underscores GSE’s commitment to accelerating clean-energy initiatives in collaboration with Pelican’s expertise.

Significant Premium, Strong Shareholder Support

This buyout arrangement reflects an improved offer, with Pelican raising the share price from an initial $4.10 to $4.60 in a recent amendment. The revised price represents a 69% premium over GSE’s closing price before the August merger announcement and a 29% premium on the average share price over the past 30 days. At the recent stockholder meeting, approximately 95.18% of voting shareholders approved the merger, demonstrating robust support for the transaction.

Pelican Energy Partners: A Strategic Energy Sector Investor

Pelican Energy Partners, established in Houston in 2011, has a focus on investing in small and mid-sized energy equipment and service companies in high-growth sectors like nuclear and clean energy. With this acquisition, Pelican gains a significant foothold in GSE’s specialty engineering and workforce solutions, which have delivered operational excellence to over 1,100 installations worldwide. This acquisition positions Pelican to support GSE’s ongoing expansion in clean energy services.

Industry Outlook and CEO’s Perspective

Ravi Khanna, CEO and President of GSE Solutions, expressed appreciation for shareholder support and emphasized that the merger would help the company continue serving its energy-sector clients. Khanna noted that the partnership with Pelican would enable GSE to leverage additional resources and maintain its critical role in clean energy and decarbonization efforts. He believes the merger creates a “win-win” scenario, ensuring value for shareholders and long-term growth potential for GSE’s engineering and training divisions.

Expert Insights: Growth Potential in Clean Energy

Sam Veselka, Managing Director at Pelican Energy Partners, highlighted that GSE’s expertise in nuclear and energy services aligns well with Pelican’s strategic focus. He noted the significant growth potential for GSE as clean energy and nuclear power projects continue to expand globally, reflecting strong industry demand for GSE’s specialized services.

Future Prospects: An Era of Growth and Innovation

With the transition to a private company upon merger completion, GSE Solutions is set to further develop its clean energy and decarbonization portfolio. This deal not only promises enhanced value for GSE shareholders but also aligns with Pelican’s mission to drive innovation and support sustainability initiatives across energy sectors.