Aberdeen-based mechanical engineering group EnerMech on Tuesday confirmed the conclusion of its sale to The Carlyle Group and announced the formation of the group’s board of directors.
EnerMech said in October it would be acquired from Lime Rock Partners by The Carlyle Group in a deal believed to be worth about £450 million.
John Kennedy has been appointed as the group’s chairman, with Joost Dröge and Bob Maguire, both managing directors and partners at Carlyle International Energy Partners (CIEP), and Philippe Boisseau joining the board as non-executive directors.
“The appointments signal EnerMech’s strong intent to substantially expand the business across global energy, engineering and infrastructure markets,” said EnerMech.
Kennedy has held senior executive positions with Brown & Root, Halliburton and rig manufacturer Lamprell.
In 2006 he led the buy-out of Vetco International from ABB and he was chairman of Wellstream Holdings when it successfully completed an IPO in 2007 and three years later when the business was acquired by GE in a £800 million deal.
EnerMech CEO Doug Duguid said: “I am delighted we are able to mark the official completion of The Carlyle Group’s acquisition of EnerMech with important non executive appointments of the highest calibre.
“John Kennedy’s experience in the upstream sector and successful corporate track record will add a breadth of expertise and knowledge which will shape the next chapter of EnerMech’s growth strategy.
“With the operating experience, financial resources and international support network of The Carlyle Group and CIEP, EnerMech is in an excellent position to consolidate our presence in our existing markets whilst pushing forward in exploiting new geographic and sector opportunities.
“There is a renewed confidence in our core energy sector client base and we are committed to working collaboratively with clients to identify and provide the best solutions possible.
“In tandem, our success in establishing a footprint and strong reputation in allied or new international markets, has given us a solid foundation for significant growth over the next decade.”
EnerMech said equity for this deal will come from CIEP, a $2.5 billion fund that invests in the global oil and gas sector outside North America.
Credit Suisse, Lloyds and DNB have underwritten the all-senior rated loan financing the acquisition.