EnerMech grows with Norson acquisition

The £11m takeover has seen EnerMech acquire the entire equity of Norson held by the management team, investor Aberdeen Development Capital and other individual shareholders. EnerMech said fellow Scottish firm Norson’s core business will complement EnerMech’s existing products and services and will take the group’s 2010 revenue to more than £60m. All staff will transfer to EnerMech’s headquarters in Howes Road, Aberdeen, later in 2010.

EnerMech added it will invest a further £2m to roll out Norson’s hydraulic services to EnerMech bases in Dubai, Singapore, West Africa and Perth, Australia. Norson’s US base in Houston will also be utilised to extend EnerMech’s reach in North America and the Gulf of Mexico, and to support existing clients and contracts in Brazil.

EnerMech managing director, Doug Duguid, said: “The acquisition of Norson and its staff is a key development in the growth of EnerMech. Norson is a well-run, profitable business, with the potential for further growth and this acquisition will take EnerMech to £60m annual turnover just two years after we started up in business.

“Synergy is an over-used word but in this case Norson’s expertise and products dovetails extremely well with our existing business lines. Norson has a lot of clients in the drilling and sub-sea construction sectors that we can tap into, while its reputation for designing and building top class hydraulic systems will help us attract new customers in international markets.

“The company is a major supplier of hose and fluid connectors which will complement our own hose and fittings business,” Duguid said. “The acquisition also boosts our expertise in hydraulic engineering and positions EnerMech as being able to offer a much more comprehensive range of services than our competitors.”

Norson Power managing director, Gordon Telfer, said: “EnerMech has the capital resources and international expertise which provides Norson with the opportunity to penetrate new markets. It’s envisaged our workforce will increase and the deal brings exciting opportunities for existing and future employees.”