Weir expands in renewable energy
The Weir Group PLC ("Weir") has acquired American Hydro
Corporation ("American Hydro"), a manufacturer of high-efficiency
turbine components for hydro-electric power generation.
Based in York, Pennsylvania, American Hydro achieved sales of
US$42.9m (£26.9m1) in 2009 and had gross assets of
US$29.2m (£18.3m1) at 31 December 2009.
Commenting on the transaction, Weir's chief executive, Keith
Cochrane, said: "Hydro-power is the world's largest
source of renewable energy. American Hydro has a particular
strength in improving the efficiency of existing stations, a field
in which Weir has extensive experience in the UK and Canada.
Combined with American Hydro, we have the engineering depth and
skills to accelerate our development in established hydro markets
throughout the Americas and Europe, where there is great potential
for electricity companies to improve renewable energy output in an
economically attractive manner."
Selim Chacour, president of American Hydro, added: "We
have had an alliance with Weir in Canada for the last five years
and prior co-operation on hydro projects in Scotland in the late
1990s. Through this we have come to know the group well. My
business partners and I are confident that joining with Weir will
see the business grow internationally, providing opportunity for
employees and cost-effective upgrades for customers. We are
very proud of the company we have built over the past 25 years and
look forward to continuing to play our part in this new stage of
American Hydro's development."
In conjunction with the acquisition of American Hydro, Weir is
investing C$10m (£6m) in a new service centre in Montreal to
support American Hydro's sales growth in Canada.
Contact details:
The Weir Group PLC
Helen Walker, Public Relations Manager Tel. 0141 308
3739 (Mobile: 07789 032296)
Maitland Tel. 020 7379 5151
Suzanne Bartch
Rowan Brown
NOTES:
American Hydro
At its 123,000 square feet facility in York, PA, American Hydro
employs around 130 people in the design, engineering, and
manufacturing of key components for hydro-electric turbines, with a
focus on the US market. The company possesses leading-edge
computerised design technology and the specialist machining
capability to handle very large turbines. Further information
on American Hydro is available from its website http://www.ahydro.com/
Weir Power & Industrial
Through its Glasgow (Scotland) based Power & Industrial
division, Weir is engaged in the service, replacement and
rehabilitation of hydro-turbines in the UK and Canada, working
closely with utilities such as Scottish Power (UK) and BC Hydro
(Canada).
1 Exchange rate of £1 = US$ 1.5919 at closing in
London on 17 November 2010.
END
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