A Peterhead-based business has been snapped up by a Norwegian inspection, maintenance and repair (IMR) company in a deal marking its debut in the UK market and providing a springboard for global growth.
WellConnection Group, which describes itself as the top firm of its kind for drilling and subsea equipment on the Norwegian Continental Shelf (NCS), has made a “strategic” investment in Independent Oilfield Services (IOS).
Terms of the transaction were not disclosed.
It said the Scottish firm since its inception in 2014 has rapidly become one of the market leaders in the UK within IMR services and storage.
IOS is changing its name to WellConnection IOS and will provide the group with a “strong foothold” in the UK market to complement its Norwegian business and represent the first step in executing its strategy to become a strong international player.
WellConnection Group is a portfolio company of EV Private Equity, a global oil and gas specialist investor with offices in Stavanger, Houston and Aberdeen.
WellConnection chief executive Rune Haddeland hailed the deal, saying: “IOS has a strong and diverse customer base, a complementary business model, and a collaborative culture that mirrors our own.
“This acquisition allows us to share knowledge and benefit from integrated technology, systems and processes. The combination will benefit both WellConnection’s and IOS’ existing client base in both markets and even more so those clients with operations on both [the UK Continental Shelf] and NCS.
“It also enables the group to provide new service offerings to our combined existing client base and the wider UK market place.”
Glynn Geddie, managing director of IOS, will transition into the role of chief executive of WellConnection IOS and continue to manage its operations from its “state-of-the-art” 50-acre facility in Peterhead.
The company will boost WellConnection’s existing drilling inspection, maintenance and repair arm.
He commented: “We are excited to be becoming part of WellConnection Group. The company is an expert in its field and boasts excellent facilities, making this a huge opportunity to extend our offering for new and existing customers in the UK and internationally. Our existing workforce will all be very much with us on this new chapter of the business, and we look forward to expanding the team over the coming months.”