Oteac – the Aberdeenshire-based integrated fire and safety services organisation – has acquired critical heating, ventilation and air conditioning company HVAC&R Ltd in a deal worth £10.25 million.
The take-over will create an enhanced engineering services offering for customers’ safety needs, as well as providing opportunities for growth both in the UK and internationally.
Established in 1985, OTEAC provides fire and gas detection and suppression systems to the oil and gas and marine sectors.
HVAC&R will retain its name and will become part of the Oteac Group, with its 108 employees more than doubling Oteac’s existing staff of 80.Bill Hogarty, Oteac Chief Executive, will oversee both companies and their integration.
Lonsdale Capital Partners – which provided part of the funding for the deal and which holds a controlling stake in Oteac – has appointed Alan Wilson as non-executive chairman.
HVAC&R Managing Director Raymond Davidson will remain with the company to provide customer support during the period of integration. Russell Bell, the other company founder, will also remain in his current role of Services Director.
Consequently, HVAC&R will shortly move to larger custom-built premises at Murcar, Aberdeen, which will enhance production capability to meet increasing customer demand for its Hazcool and Climarine brands.
David Gasparro, Partner at Lonsdale Capital Partners, added: “We have been very impressed by the HVAC&R management team and it is a natural add-on to Oteac.
“Both companies have seen significant growth in recent years and by making this acquisition, and combining these two leading businesses, we are creating a strong customer proposition. We are excited to take on the established competitors within the industry.”
HVAC&R (Heating, Ventilation, Air Conditioning and Refrigeration Limited) headquartered in Aberdeen, Scotland is a leading provider of business critical and bespoke engineering solutions; primarily to the oil and gas, onshore petrochemical and marine sectors.