Glasgow-based engineering giant Weir Group said on Thursday it completed the acquisition of Portland, Oregon-based ESCO Corporation for an estimated enterprise value of $1.28 billion.
Weir’s main markets are mining, energy and infrastructure and the group employs 18,000 people in 70 countries and has a stock market value of about £5 billion.
Weir Group CEO Jon Stanton said: “I am delighted that ESCO has formally become part of the Weir Group.
“ESCO brings a strong global leadership position and adds another premium brand to our portfolio of market-leading products and services.
“As mining markets continue to grow customers are focused on increasing production sustainably and efficiently.
“ESCO’s premier position in surface mining complements our established leadership in materials processing, meaning together the group has a unique range of mission critical solutions from extraction to concentration, built on proprietary technology, superior wear life and supported by an unrivalled service network.”
ESCO will operate as a new division of the Weir Group, and will be reported as a separate segment alongside Minerals and Oil & Gas.
Following the previous announcement that Weir Group will initiate a process to sell its Flow Control Division, the results of that division will now be reportea as discontinued operations.
ESCO will be led by division president Jon Owens, formerly president and chief operating officer of ESCO Corporation, who first joined the business in 1986.
Owens will join Weir’s group executive and become a “Person Discharging Managerial Responsibilities” (PDMR) with immediate effect.
Cal Collins, formerly chairman and CEO of ESCO Corporation, will join Weir Group PLC board as a non-executive director and PDMR with immediate effect.