An Aberdeenshire-based pipeline specialist has been sold to an international group in a deal that will generate a multi-million dollar payment for the company founder.
STATS UK was acquired by SRJ Technologies, which is listed on the Australian Stock Exchange, in a cash and stock transaction valued at approximately £ 73million.
The sale will allow STATS UK founder Pete Duguid to solidify his position as one of the country’s most successful oil service contractors.
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Under Mr. Duguid’s leadership, the company has developed a range of specialized tools that can be used to maintain the integrity of pipelines transporting oil, gas and other commodities. In 2012, it became the first company in Scotland to obtain support for the BGF investment transaction.
Mr. Duguid has retained a stake in the company he chairs.
The sale of the company to SRJ, provides a notable vote of confidence in STATS UK amid uncertainty for the key oil and gas industry.
Businesses have slashed spending on new assets amid the downturn triggered by the pandemic. As oil and gas prices rebounded, investment prospects have been clouded by calls to restrict developments on environmental grounds.
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However, this can act as an incentive for operators to make the most of existing assets such as pipelines. The underwater expertise acquired in oil and gas activities could be deployed in other markets.
SRJ said the acquisition would accelerate its strategic priorities in the asset integrity market.
The company said, “SRJ will leverage STATS ‘global presence to exploit cross-selling opportunities… while also seeking to seize significant growth opportunities in the energy transition industry. ”
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SRJ has operations in Australia and Hampshire and is headquartered in Jersey.
The deal is not expected to result in layoffs at STATS, which has offices in several countries. STATS employs 320 people including 160 in the UK. It secured a £ 7.8million investment from BGF in 2012.
BGF was founded in 2010 by large banking groups such as Royal Bank of Scotland and Lloyds, as the Business Growth Fund, following complaints that lenders were not supporting small and medium-sized businesses.