Robertson sold (June 2001)

Fugro has acquired Robertson Research for 59 million. The acquisition is part of Fugros ongoing expansion into oil and gas niche service markets.

Fugro is to acquire Robertson Research International for 59 million. Robertson is currently owned 50.1% by senior management of the company and 49.9% by Simon Group plc. Located in North Wales, with offices in Italy and Australia, Robertsons activities include geological and geophysical services, reservoir engineering, data management and laboratory services. The company employs around 500 people.

Acquisitive

Fugro has proved very acquisitive in recent months with the takeover of Geoteam AS, Seismic Australia Pty, GeoServices, Inc. and Geo-logic Consulting Services B.V., substantially enhancing Fugros geoscience offering. Fugro plans to create further growth by integrating Robertsons products with its growing airborne geophysical activities. Fugro also expects that Robertson will provide the core for future acquisitions.

Fowler

In a letter to clients, Robertson MD Richard Fowler said Fugro has fully endorsed Robertson's present business strategy and has made it clear that it will encourage and support growth by both organic and acquisition means to help Robertson develop an even stronger position in the petroleum service sector.

Debt-free

Robertson is a debt-free company and will be consolidated into Fugros accounts from July 2001. Fugro anticipates a full year turnover from Robertson for 2001 of 31.7 million, an EBIT of 6.2 million and a net result of 5 million.

Synergies

These figures reflect post acquisition synergies. The purchase consideration of 59 million is expected to be settled in cash and loan notes. After selling its interest in the companys equity, Robertson senior management will continue to work within the company.

6,000

Fugro has over 6,000 employees and offices in over fifty countries. Fugro may issue new shares to finance the purchase which should have a positive impact on earnings this year. For more on the deal see our interview with Fugro Survey Chief Operating Officer, Kbi Ruegg and our brief history of Robertson on page 3 of this months PDM.

Click here to comment on this article

If your browser does not work with the MailTo button, send mail to pdm@oilit.com with PDM_V_3.3_0106_1 as the subject. Web use only - not for intranet/corporate use. Copyright 2001 The Data Room - all rights reserved.