Ashtead Technology has acquired fellow north-east power providers agency ACE Winches in a multi-million pound deal.

The subsea gear rental and options supplier bought ACE from its founders Alfie and Valerie Cheyne through a complete money consideration of £53.5 million for its mother or father agency Rathmay Limited.

The acquisition sees Ashtead Technology’s headcount improve from 320 to over 520, with round 400 workers based mostly in Aberdeenshire.

Ashtead says that the deal will likely be funded by drawing on the group’s “revolving credit facility” and is anticipated to be materially earnings-enhancing by the top of subsequent yr.

The agency introduced its strongest-ever results in September with a 57.1% improve in revenues, pushed by offshore renewables and offshore oil and fuel.

Half-year revenues totalled £49.8m, up 57% on the identical interval final yr, on adjusted pre-tax earnings of £14.3m, up 89%.

Ashtead Technology (AIM: AT.) chief govt, Allan Pirie, mentioned: “Both companies have deep-rooted historical past and heritage in Aberdeenshire while delivering for our prospects globally.

“As a combined business, we will continue to strengthen our capabilities in Aberdeenshire whilst leveraging our strong international footprint and infrastructure to drive continued international expansion of our business and deliver Ashtead Technology products and services to a larger global customer base.”

© Supplied by Ashtead Technology

Ace Winches, a fellow north-east enterprise, helps the set up, inspection, upkeep and restore, and decommissioning of offshore infrastructure, one thing Ashtead says is “highly complementary” to its potfolio.

Mr Pirie added: “While the enterprise predominantly serves the oil and fuel business, we see a major alternative to redeploy the asset base in offshore renewable markets in addition to additional internationalising our enterprise.

“The transaction serves to bolster our technique of increasing our fungible fleet and vary of offshore providers options to meaningfully improve our buyer providing, and in flip develop additional market share.

“We look forward to welcoming new colleagues to the Ashtead Technology team and capitalising on the wealth of in-house expertise they will bring to the Group.”

Ace Winches reported sturdy monetary leads to 2022 with pre-tax earnings surging to £13.2m, from £4.2m a yr earlier.

Earnings earlier than curiosity, taxes, depreciation and amortisation rose to £16.1 million, from £7.6m within the earlier 12 months, with turnover skyrocketing by 49% to £42m.

Ace mentioned its blockbuster figures had been pushed by decommissioning actions in Brazil and renewables tasks in Europe, the US and Taiwan, in addition to new enterprise from present shoppers in additional conventional power markets.

Alfie Cheyne, founder and chairman of ACE Winches commented: “Ashtead Technology is an impressive enterprise with a firstclass status and the clear synergies between each corporations will give us the platform required to speed up our progress.

“As properly as creating an incredible alternative for our folks, turning into a part of Ashtead Technology will allow us to broaden our present capabilities and worldwide footprint in key areas together with the USA and the Middle East the place Ashtead Technology has a longtime native presence.

“We are thrilled to become part of the Ashtead Technology team and see it as the perfect home for the next chapter in our growth story.”

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Ashtead Technology offers integrated decom solutions