DORSET-BASED oil and gas services group Hamworthy has agreed to be taken over by Finnish enginemaker Wartsila yesterday in a deal valuing the UK company at about £383m.
The announcement will boost Wartsila’s presence in the fast-growing energy sector. Wartsila said it saw major cost synergies and sales opportunities from integrating Hamworthy in its ship power division.
“We see Hamworthy as an accelerated short cut to strengthen our market position” in offshore, marine and environmental products, chief executive Bjorn Rosengren said.
Hamworthy’s chairman Gordon Page recommended the deal and said it was “an attractive offer for Hamworthy shareholders, reflecting the strengths of Hamworthy’s global positions and its growth prospects.”
Analysts said the deal was a strategic fit. “This is the right strategic move for them. Offshore and gas are the sectors which will grow,” said Markus Liimatainen of Finnish brokerage FIM.
Hamworthy separately published its interim results, showing operating profit up 41 per cent to £9m on revenues of £109.2m for the six months to the end of September. Wartsila had sales of €4.5bn (£3.9bn) last year.
CHRISTOPHER Kemball, Hawkpoint’s vice chairman, and managing director Colin Christie are lead advisers to Hamworthy on its takeover.
With more than 35 years of investment banking experience, Kemball’s CV includes stints at ING Barings, where he was global head of emerging markets corporate finance; managing director at Dillon Read, and Kleinwort Benson. He was part of Hawkpoint’s management buyout, backed by MML Capital, in 2000.
Kemball’s deal track record has involved some of the world’s biggest industrial names. He advised LBO France and Barclays Private Equity France on the $3.2bn (£2bn) sale of power conversion firm Converteam to General Electric this year, and worked for optics group Spie on its €2.1bn sale to a private equity consortium. He also successfully defended Lavendon against hostile approaches from TVH and Ashtead in January.
Christie, head of Hawkpoint’s industrials team, gained his experience at UBS and SG Warburg.