Clyde Blowers Capital agress £13m deal for US-based Energy Services International
Clyde Blowers Capital has acquired US oil and gas services firm Energy Services International (ESI) in a deal valued at $20 million (£13 million).
The deal also includes ESI’s trading businesses Southern Technology and Services and Vicksburg Marine.
EIS, which has divisions in Texas, Mississippi and Louisiana, is reported to have a strong presence in the Gulf of Mexico.
Entrepreneur Jim McColl, chairman of East Kilbride-based Clyde Blowers Capital, believes ESI has potential to expand its services into the North Sea and Middle East, Africa and South East Asia.
McColl said the first priority post acquisition will be setting up a service centre in Aberdeen.
He said: “ESI has an excellent reputation for service and quality, with industry-leading service levels, and it is ripe for growth.
“The company had a turnover of $20m (£13 million) last year, and we are confident we will increase that to $100m (£65 million) over the next three to five years, with a great opportunity to expand initially into the North Sea and the Middle East.
“Over the period we envisage investing up to another $40m (£26 million) in ESI, and the Aberdeen service centre would be the first move in that investment.
“We see great potential to transform it into a global operation by offering an extended range of services to our customers and growing our geographic footprint, both through acquisition and organic growth.
“We will also export ESI’s capabilities into other key oil & gas regions across the world, including South East Asia and West Africa.”
McColl set up the Clyde Blowers Capital in 2011 as an industrial focused investment vehicle and it was the finance vehicle which sold McColl's Clyde Union Pumps to US-based SPX Corporation in a £750million deal.
Clyde Blowers Capital closed its first fund at £420 million – £70 million ahead of its target size – with more than 60 per cent of the investment coming from US-based investors.
McColl described his fund at the time as the “new world” in deal financing, where sector skill and operating expertise combine to lead the funding strategy.
Clyde Blowers Capital's portfolio companies now employ 6,500 people worldwide.