Latest News
Yorkshire firm raises cash for acquisition - 29/09/08
Wakefield engineering support services firm Redhall is to buy rival Chieftain Group for £18.6 million.
The Yorkshire-based company will pay 209.2p for every share of the Newcastle upon Tyne firm Chieftain, with the money raised from proceeds of the placing of Redhall shares with institutional investors and cash resources.
David Jackson, chairman and chief eExecutive of Redhall, said: "We are delighted to announce the offer for Chieftain which should provide Redhall with complementary engineering and fabrication capacity, a well established engineering resources business and an entry into the marine outfitting business."
He added that the firm expects synergies within Chieftain's central management function of at least £0.5 million per annum.
The acquisition will give Redhall "much enhanced" prospects, particularly in the oil and gas industry, Mr Jackson explained.
Redhall Group consists of six international engineering service businesses across nuclear, oil and gas, food, defence, safety and security and transport infrastructure.
© Adfero Ltd
