Weir to acquire Linatex
WEIR Group plc, the industrial pump specialists, have agreed to acquire the Malaysian-based Linatex group of companies, global providers of wear-resistant products and process equipment to the mining and sand and aggregates industries, for a total consideration of US$ 200 million (£138 million).
Weir say the acquisition is in line with their strategy to grow their global capability, expand their emerging market footprint and further strengthen their aftermarket presence. Subject to regulatory approvals, completion is expected to take place in the third quarter of 2010.
Commenting on the transaction, Weir’s chief executive, Keith Cochrane, said: ‘The acquisition of Linatex creates great opportunities for our Minerals division. By combining Weir’s expertise in pumps, valves and cyclones with Linatex’s renowned rubber products and branding, we will have a highly complementary and competitive offering to satisfy our customers’ demand for leading-edge products and service.
‘Linatex’s established manufacturing capability, particularly in Malaysia and China, and its extensive customer network, provides an excellent platform for growth. We welcome Linatex management and employees to the enlarged group and look forward to a successful future together.’
Neil Macleod, group managing director of Linatex added: ‘We are delighted that Linatex is joining a group with the same focus on high-growth sectors in fast-developing markets. There is great potential to enhance the overall offering to customers and thereby also create opportunity for employees and the continuation of the long tradition of the Linatex brand.’
Linatex’s operations comprise core manufacturing facilities in Kuala Lumpur, Malaysia, and Wuxi, China. Regional manufacturing centres are located in Perth and Townsville, Australia; Alrode, South Africa; Yateley, UK; San Bernardo, Chile; and Gallatin, Windfall, Luck and St. Croix Falls, US. The company also has two service centres in Canada, one in South Africa and four in Australia. In total, Linatex employ approximately 1,000 people.
Since 2005 Linatex have been owned by a fund controlled by Navis Capital, a private equity group headquartered in Kuala Lumpur.
Weir say the acquisition is in line with their strategy to grow their global capability, expand their emerging market footprint and further strengthen their aftermarket presence. Subject to regulatory approvals, completion is expected to take place in the third quarter of 2010.
Commenting on the transaction, Weir’s chief executive, Keith Cochrane, said: ‘The acquisition of Linatex creates great opportunities for our Minerals division. By combining Weir’s expertise in pumps, valves and cyclones with Linatex’s renowned rubber products and branding, we will have a highly complementary and competitive offering to satisfy our customers’ demand for leading-edge products and service.
‘Linatex’s established manufacturing capability, particularly in Malaysia and China, and its extensive customer network, provides an excellent platform for growth. We welcome Linatex management and employees to the enlarged group and look forward to a successful future together.’
Neil Macleod, group managing director of Linatex added: ‘We are delighted that Linatex is joining a group with the same focus on high-growth sectors in fast-developing markets. There is great potential to enhance the overall offering to customers and thereby also create opportunity for employees and the continuation of the long tradition of the Linatex brand.’
Linatex’s operations comprise core manufacturing facilities in Kuala Lumpur, Malaysia, and Wuxi, China. Regional manufacturing centres are located in Perth and Townsville, Australia; Alrode, South Africa; Yateley, UK; San Bernardo, Chile; and Gallatin, Windfall, Luck and St. Croix Falls, US. The company also has two service centres in Canada, one in South Africa and four in Australia. In total, Linatex employ approximately 1,000 people.
Since 2005 Linatex have been owned by a fund controlled by Navis Capital, a private equity group headquartered in Kuala Lumpur.
