The industrial services unit of Intertek Group Plc, an international provider of quality and safety services to a range of industries, has made two acquisitions for $40 million.
The industrial services unit of Intertek Group Plc, an international provider of quality and safety services to a range of industries, has made two acquisitions for $40 million (£28 million).
Intertek has acquired US-based engineering consultancy Aptech Engineering Services and WISco Enterprises, a provider of technical inspection and expediting support to the oil and gas sector, as demand for these services is expected to increase as companies focus on maintaining ageing equipment.
In addition to boosting Intertek’s industrial technical services unit, the two transactions will increase the company’s market share in the US.
Aptech specialises in the life management of facilities, equipment and infrastructure for the energy sector. The company was acquired from its management and employee shareholders for an initial cash payment of $5 million (£3.5 million).
The transaction includes a deferred element of up to $2 million (£1.4 million) and $6 million (£4.2 million) in cash dependent upon Aptech’s hitting targets. The company has 90 employees and operates out of California and Texas.
WISco Enterprises LP and its affiliates provide inspection, expediting and co-ordination services globally for the oil and gas industry. The company operates from the US, Europe, the Middle East and Asia, and was acquired from its management for $26.5 million in cash (£18.5 million).
Wolfhart Hauser, Intertek CEO, said: “Both businesses expected to return high single-digit revenue growth in 2009. These acquisitions complement our existing technical and industrial services in Europe, and provide a suite of services and expertise that will be sold across our wider group customer base.”