Scottish energy services firm Enovate Systems has been snapped up by a larger Norwegian rival.
Aker Solutions said it is buying a majority stake in Aberdeen- based Enovate, which specialises in undersea oil well technology.
Enovate will continue to operate as an independent business, and founder Jeff Edwards will stay on as its chief technology officer. Other managers are also staying with the firm, which will receive support from Aker to help accelerate its growth.
Edwards said: “Aker Solutions is a company with significant in-house opportunities for our technology and with the required scale and reach to help us grow our own capacity and ability to serve clients internationally.”
Commercial details of the deal were not disclosed. Set up in 2002, Enovate employs 62 people and has a turnover of about £15 million. Profits before interest, tax and other deductions are about £5m a year.
The acquisition is subject to approval from the Norwegian competition authorities.
Aker, which has a base in Aberdeen, said reasons for buying the company included its “superior cutting and sealing capabilities” such as a unique metal-to-metal sealing system pioneered by Enovate, which reduces the danger of leaks in oil wells.
It will invest in increased capacity and further development of Enovate’s product range.
l Subsea engineering and training firm Jee has opened its first London office, part of a growth strategy Jee says will create 150 jobs over the next four years, spread across its bases in Aberdeen and the south of England.
Technical director Mike Hawkins said: “The new location will allow us to better serve existing clients, and will be a hub from which we can attract more high-calibre employees.”