Rolls-Royce sells Bergen Engines to TMH International
Rolls-Royce has sold Bergen Engines - the medium speed gas and diesel engines business - to TMH International, the international branch of TMH Group, for around €150m.
The transaction, approved by the boards of Rolls-Royce and TMH, is expected to close in the second half of 2021.
The privately owned TMH Group, based in Russia, is a leading engineering company in rail transport technologies and the world’s fourth largest supplier of rail rolling stock. It offers a full range of products and services including medium-speed engines for rail applications with current production of more than 850 engines a year.
The acquisition of Bergen Engines is part of TMH’s strategy to diversify its business activities, expand its product portfolio and international footprint.
Bergen Engines will be operated as a stand-alone business by TMH International, which is headquartered in Switzerland. TMH International already operates in Argentina, Cuba, Egypt, Germany, Hungary, Israel and South Africa.
Warren East, CEO of Rolls-Royce, said the sale is part of its ongoing portfolio evaluation to create "a simpler, more focused group" and contributes towards its target to generate at least £2bn from disposals, as announced in August. The company aims to cut at least 9,000 roles by the end of 2022.
Kirill Lipa, CEO of TMH, said it sees great potential in the low emission developments of Bergen Engines as part of the global TMH Group.
"Together with Bergen Engines, TMH intends to develop a long-term strategy based on carbon-neutral applications. TMH particularly appreciates the acknowledged competence of Bergen Engines in gas engines. This is the clear technological direction for the future of combustion engines, with significant demand not only in Russia but also worldwide," he added.
Hans Schabert, President of TMH International, said the deal will allow both companies to expand their portfolios and geographical reach, bringing mutually beneficial commercial opportunities worldwide. Jon Erik Røv, Managing Director, Bergen Engines, said it is currently at the start of an "exciting era" in the development of carbon-neutral power solutions.
Rolls-Royce recently conducted the first tests of 100% Sustainable Aviation Fuel in a business jet engine (Pearl 700), as it aims to be net zero by 2050 (click here).
Global Offshore rebrands Enelift and invests in global hubs
Global Offshore has rebranded Enelift and will invest "a seven-figure sum" in establishing new support hubs in Houston, Dubai, Singapore, Perth and the Caspian during the next six months.
The investment will cover oil, gas and renewables, mainly concentrating on manufacturing capability with associated R&D, as well as in stock held in the hubs.
The company’s flagship Hinge Lok technology provides aluminium, non-welded light weight transportation cradle for casing and tubing. Enelift now plans to enhance its offering by augmenting its existing solutions with robotics and remote operational and training technology, which will reduce manpower for handling offshore equipment that is transported and stored using the Hinge Lok system.
Enelift is partnering with "a Japanese robotics company" and the technology will be trialed with "a Norwegian operator on a Norwegian drilling rig", according to a statement.
Operating from its bases in Aberdeen, UK and Esbjerg, Enelift was founded by 35-year industry veteran and Managing Director Paul Brebner 10 years ago to offer the offshore energy industries safe, reliable and efficient storage and transportation of equipment.
The expansion plans are bolstered by the appointment of Jim Clark of the Craigendarroch Group to Chairman, and Adam Maitland to Non-Executive Director. Maitland is the Managing Director of Hutcheon Mearns IF, and brings his wealth of expertise in the field of corporate finance.
Brebner said Enelift may be a new name in the market, but the experience it brings is "industry renowned".
"Our solutions are underpinned by safety that enables inefficiencies and their associated costs to be eradicated – meaning operational personnel can focus doing what they do best, safely. We remain committed to providing the safest storage and transportation solutions for equipment in the sector as we grow our global operations," he said.
Clark said the market is changing and its solutions fully support customers’ economic and safety aspirations.
"We are very well placed to take full advantage of increasing opportunities in the Middle East, Africa, Far East and Americas. Safety is our absolute commitment to our customers and our support hubs will facilitate this. Aligning our identity to our entire offering ensures that we will drive our expansion through new products and global support sites across the rest of this year."