Texas-based engineering and construction firm Fluor Corporation on December 7, 2015 signed an agreement with UK-based private equity firm Arle Capital Partners to acquire 100 percent of Stork Holding BV, based in the Netherlands, for an investment of Euro 695 million ($ 755 million).
Stork is a global provider of maintenance, modification and asset integrity services associated with large existing industrial facilities in the oil & gas, chemicals, petrochemicals, industrial and power markets. Founded in 1827, Stork has built a powerful brand in the industry and has long-term relationships with a diverse range of blue chip customers. It has operations in Europe, UK, the Middle East, Asia Pacific and the Americas, with an annualised run-rate revenue of approximately Euro 1.6 billion ($ 1.7 billion) and EBITDA of approximately Euro 100 million ($ 109 million), implying a transaction multiple of just under seven times EBITDA.
“The acquisition of Stork is consistent with Fluor’s goal to further enhance our integrated solutions capabilities in thoughtful, strategic ways that will increase the value we deliver to our clients and shareholders. Stork is highly complementary to Fluor as it gives both businesses the opportunity to market diverse services and capabilities to new customers and across new geographies,” said David Seaton, chairman and CEO, Fluor.
Upon closing of the acquisition, Fluor will combine its operations & maintenance business unit with Stork.
Stork is a global provider of maintenance, modification and asset integrity services associated with large existing industrial facilities in the oil & gas, chemicals, petrochemicals, industrial and power markets. Founded in 1827, Stork has built a powerful brand in the industry and has long-term relationships with a diverse range of blue chip customers. It has operations in Europe, UK, the Middle East, Asia Pacific and the Americas, with an annualised run-rate revenue of approximately Euro 1.6 billion ($ 1.7 billion) and EBITDA of approximately Euro 100 million ($ 109 million), implying a transaction multiple of just under seven times EBITDA.
“The acquisition of Stork is consistent with Fluor’s goal to further enhance our integrated solutions capabilities in thoughtful, strategic ways that will increase the value we deliver to our clients and shareholders. Stork is highly complementary to Fluor as it gives both businesses the opportunity to market diverse services and capabilities to new customers and across new geographies,” said David Seaton, chairman and CEO, Fluor.
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Arnold Steenbakker, CEO, Stork, added, “We are very proud that a world-class company like Fluor recognises Stork’s strong reputation, capable workforce and performance as a global industrial services provider. The combination will create new opportunities to expand our global footprint and deepen the product and services offering to our customers. Stork’s activities are complementary to those of Fluor and the combination will create a global leader in the industrial services business.”
Upon closing of the acquisition, Fluor will combine its operations & maintenance business unit with Stork.