Mechanical and electrical services specialist EnerMech has named oil industry veteran John Kennedy as its chairman following the completion of the Aberdeen-headquartered group’s sale to Carlyle Group.
Kennedy has been appointed chair, with Joost Dröge and Bob Maguire, both managing directors and partners at Carlyle International Energy Partners (CIEP), and Philippe Boisseau joining the board as non-executive directors.
EnerMech announced in October that it had signed definitive agreements to be acquired by Nasdaq-listed Carlyle Group from Lime Rock Partners for a substantial undisclosed sum.
Created in 2008, the Aberdeen group employs some 3,500 staff across 40 locations, in the UK, Norway, the Middle East, Caspian, Asia, Africa, Australia and Americas. It works on large-scale projects across the oil and gas, liquefied natural gas, renewables, defence, power, infrastructure and petrochemicals sectors.
Spanning a 40-year career in oilfield services, Kennedy has held senior executive positions with Brown & Root, Halliburton and rig manufacturer Lamprell.
In 2006, he led the buy-out of Vetco International from ABB and he was chairman of Wellstream Holdings when it successfully completed an initial public offering (IPO) in 2007 and three years later when the business was acquired by GE in a £800 million deal.
Doug Duguid, chief executive of EnerMech, said: “I am delighted we are able to mark the official completion of the Carlyle Group’s acquisition of EnerMech with important non-executive appointments of the highest calibre.
“John Kennedy’s experience in the upstream sector and successful corporate track record will add a breadth of expertise and knowledge which will shape the next chapter of EnerMech’s growth strategy.
“EnerMech is in an excellent position to consolidate our presence in our existing markets whilst pushing forward in exploiting new geographic and sector opportunities.”
In September, the firm revealed annual accounts for the year to December 2017 with revenues of £361m and underlying profits of £43.6m, and forecast that 2018 revenues were expected to reach £430m with earnings in the region of £59m.
Equity for the Carlyle investment is coming come from CIEP, a fund that invests in the global oil and gas sector outside North America. Credit Suisse, Lloyds and DNB have underwritten the all-senior rated loan financing the deal.