Clyde Pumps wins twin China deal

Published on Sunday 2 November 2008 20:11

JIM McColl's Clyde Pumps has won a £44 million order for a pair of nuclear power stations in China.

The deal is a welcome boost to the firm, bought by McColl from his former employer Weir Group last year, which hopes to grow revenues from $400 million (247m) to $2 billion over five years.

The contract is to supply main-feed pumps to the plants, in Fuqin and Jianshan, as part of a move to increase China's nuclear capability. The Chinese government plans to build around six more nuclear plants by 2020.

McColl said: "We aim to be in the top three in the world by then (2013] and the Chinese market is going to be very important to us.

"We have already made significant inroads there through our existing joint venture."

He added: "A lot of the money being injected by governments into economies around the world is in infrastructure projects and that's where we are."

McColl's Clyde Blowers empire is one of Scotland's biggest companies, boasting turnover of 1.2bn, while the pumps division is fast becoming one of its most significant parts.

McColl, who began his career with the company – then called Weir Pumps – 40 years ago, also revealed that he plans to bring back the division's original name as part of a rebranding.

He recently snapped up the fluid and power division of US company Textron for 500m – and plans to bring the two pump companies together under the banner of Clyde Union "incorporating Weir Pumps".

McColl said: "We have a deal to use the Weir Pumps name for 25 years. It is a powerful brand and opens doors around the world."

In the year since McColl bought up Weir Pumps for 48m, the division has increased its profit from 7.2m to 9.6m.