Posted to News on 21st Feb 2008, 09:55
MTL Instruments Group buys Ocean Technical Systems
The MTL Instruments Group is acquiring Ocean Technical Systems, the UK-based specialist in SCADA (Supervisory Control and Data Acquisition) products for the oil and gas industries, for £3million in cash.
OTS has established a strong position as an international provider of SCADA products for the automation of the berthing, loading and unloading of oil tankers and oil production vessels floating production units (FPSOs), unmanned wellhead production platforms and the monitoring of oil and gas pipelines. This equipment operates in hazardous and potentially flammable environments and is therefore a natural fit for MTL, which claims to have a world-leading position in the provision of hazardous area control and instrumentation equipment.
Following the transaction, it is expected that the OTS business will be able to extend its international customer base by leveraging MTL's sales channels and OEM relationships. It will also have an opportunity to improve its competitiveness by utilising MTL's purchasing power and electronic circuit board manufacturing capability.
The directors believe that the acquisition will be earnings enhancing in the first full year of ownership.
Graeme Philp, MTL's Chief Executive, comments: "Ocean Technical Systems is another excellent acquisition for MTL. Over the last few years it has developed an innovative and highly competitive range of SCADA and navigation products for the automation of the berthing and loading of oil tankers and oil production vessels and the monitoring of oil and gas pipelines. By giving OTS access to its international sales team, MTL will help to accelerate the expansion of its international reach."
