LONDON, UK: Renew Holdings (AIM: RNWH), the main Engineering Services Group supporting the upkeep and renewal of critical UK infrastructure, has acquired the entire issued share capital of Enisca Group from its founders for a complete consideration of £15.6m payable in cash.
Enisca Group is a multi-disciplinary engineering business working within the water and environmental sector with headquarters in Cookstown, Northern Ireland however with a base on the UK mainland. Enisca has lengthy run Mechanical, Electrical, Instrumentation, Controls and Automation (MEICA) frameworks with Southern Water, South East Water, Affinity Water, Yorkshire Water, Irish Water, Northern Ireland Water, Anglian Water and Northumbrian Water.
The acquisition represents an excellent strategic fit, including new capabilities and clients to Renew’s water enterprise which continues to revenue from the UK Government’s dedication to spend £51bn over AMP7 into 2025. Further, Enisca will form a key a half of the Group’s technique to maximise the alternatives presented by AMP8 forward of the anticipated begin of procurement in 2024.
Enisca Group is anticipated to be instantly earnings enhancing with forecasted gross sales of £30m and working revenue of £2.1m (based on Renew management’s forecast for the 12 months for September 2023).
The consideration of £15.6m on a cash-free/debt-free foundation will be funded by a mixture of money and the Group’s existing revolving credit score facility. There is no deferred consideration payable. The entire executive administration team of Enisca will stay with the enterprise post Acquisition.
Paul Scott, Chief Executive of Renew Holdings, commented: “This Acquisition broadens Renew’s publicity to the UK water market and is constant with our stated strategic objectives. Enisca is a extremely regarded enterprise with a strong track record and is well-known to Renew having been a three way partnership partner of Browne since the beginning of AMP6 in 2015. Our existing multidisciplinary water capability, complemented by the inclusion of Enisca will considerably improve Renew’s proposition forward of AMP8 procurement in 2024. I am delighted to welcome the administration and staff of Enisca to the Renew family.”
Tom Ruddy, Chairman of Enisca Group, commented: “We very a lot look forward to the chance to join with Renew Holdings for this attractive new chapter. Renew will be an excellent long-term strategic match for Enisca giving us entry to its interconnected Group subsidiary businesses, clients and frameworks. I would like to thank my fellow administrators and shareholders and all of the employees of the Enisca Group companies for constructing the corporate to the place it’s today, a strong and vibrant enterprise within the UK and Ireland Water and Environmental markets.”
Renew Holdings Group plc is a number one UK Engineering Services business, performing a critical role in keeping the nation’s infrastructure functioning effectively and safely. The Group operates through independently branded subsidiaries throughout its chosen markets, delivering non-discretionary upkeep and renewal duties through its extremely skilled, directly employed workforce.