Subsea technology and services firm Ashtead Technology (AIM:AT) has opened a new equipment rental hub in Norway’s energy capital, Stavanger.
The facility will initially offer a suite of ROV tooling and subsea survey technology.
This expansion follows the acquisition of ACE Winches in 2023,which brought Ashtead its first facility in Stavanger on the quayside, where it offers lifting, pulling, and deployment services. Ashtead splashed out £53.5 million for the Aberdeenshire firm, buying it up from founders Alfie and Valerie Cheyne.
AIM-listed Ashtead Technology said it had plans to further expand its Norwegian team and service offering over the next year.
The Westhill-based business has expanded rapidly completing eight acquisitions in the past seven years. With a headcount of over 600 people and 23,000 items in its technology portfolio it serves its customers from twelve strategic hubs across the globe.
In April the firm revealed group revenues had increased 51% to £110.5m in its 2023 final results, while profit before tax of £27.5m was 69% ahead of prior year (2022: £16.3m). It said its market has “continued to see growth and momentum increase across both offshore oil and gas, and renewables”, while its revenues from renewables grew by 50% in the year.
CEO Allan Pirie said that 2023 saw some headline project delays and cancellations in the offshore wind market, but added the “the industry is still in its infancy and, growth was never going to be a smooth journey”.
© Supplied by Ashtead TechnologyHe added the firm continued to also focus on the subsea oil and gas market.
He said: “2023 has seen a 61% increase in offshore greenfield sanctioning committed capex compared to the average of the previous five years, with many of the projects being sanctioned in Norway and South America.
“Years of under investment in both existing and new developments have caught up with the industry.
“As a source of reliable energy, the offshore hydrocarbon industry will remain a key contributor to global oil and gas production under all probable energy transition scenarios, with continued investment in this industry being critical to supporting the demand for energy. Subsea expenditure will play a significant part in this market.”
Established in 1985, the company made its debut on London’s junior market in 2021 when it had just over 200 employees.
The IPO concluded a successful exit by Saudi investor Arab Petroleum Investments Corporation (APICORP). The Saudi’s UK private equity partner, Buckthorn Partners, said it completed the exit of its investment in Ashtead subsequently in 2023. The duo had first acquired the business in 2016 from another strategic buyer, London-based Phoenix Equity Partners. Phoenix had initially backed a management buyout in 2008 from Ashtead Group (LON:AHT) in a deal worth £98m.
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