PGS said it had received a written communication from Veritas to the effect that their board of directors had withdrawn its approval and recommendation supporting the pending combination with PGS under the merger agreement between the two companies.

At press time, there were no reasons forthcoming from Veritas. Its web site did not mention that the deal had collapsed, while the PGS site contained some brief details.

In the last two months there have been two amendments made to the original deal of November 26 last year, both involving the PGS Atlantis subsidiary business.

PGS said it would terminate the merger agreement in accordance with the terms.