Muckle advises Express Engineering on its acquisition of assets from Teesside-based welding company
Lawyers from our corporate and banking teams have advised LDC-backed Express Engineering, a leading global turnkey supplier for subsea actuator assemblies, connection systems and subsea production systems, on its acquisition of assets from Q.A. (Weld Tech).
Q.A. (Weld Tech) provides flow spools, crossovers and technical welding services from its site at Riverside Industrial Park. The acquisition is part of Express Engineering’s growth strategy in the subsea sector.
The acquisition follows Steve Ross and Allan Kelly, of the Newcastle office of FRP Advisory, being appointed joint administrators of Q.A. (Weld Tech), which became insolvent after suffering a sustained period of loss-making.
Regional jobs
Gateshead-based Express Engineering intends to retain the current site in Middlesbrough and will continue to offer fabrication and welding services under the ‘Q.A. Weld Tech’ brand.
The transaction has also supported the transfer of 39 staff to the new entity within the engineering group, which now employs 230 people.
Chris Thompson, chairman of Express Group, said: "The subsea energy sector is a core part of our business and, with resurgent demand for subsea manufacturing expertise and products, the addition and transition to carbon capture equipment is fundamental to our growth strategy.
"We're pleased to be able to welcome Q.A. Weld Tech into the Express Group. They bring valuable skills and knowledge to the team and join at an incredibly exciting time. Our order book is very strong and we are delivering on our commitment to investing in our people, products and technology to realise our ambitions for the future."
Allan Kelly, partner at FRP, added: "Q.A. Weld Tech has been established for 40 years and its technical delivery remains highly regarded but has faced challenges in the period since Covid. This sale provides an opportunity to retain that experience and build on the business' legacy. We wish the employees and Express Group every success in the future."
Legal advice
Advice was led by Adam Rayner, corporate partner and Sarah Farish, solicitor in our banking team. Of the deal, Adam said: “We are delighted to have advised Express Engineering and LDC on this acquisition. We are pleased to support Express with their growth strategy whilst also helping them on a deal that allowed them to retain almost 40 local jobs.”
For more information on this deal, or if you'd like any corporate advice please get in touch with Adam Rayner on 0191 211 7962 or email [email protected]