Global oil and gas services giant, Wood Group, has announced the acquisition of Texas based rival- The Infinity Group.
Wood Group have acquired Infinity for an initial US$150 million, although this represents 85% of the company. The remainder will be paid on the future performance of the firm. Wood Group has estimated that the total amount will eventually reach around US$176 million. The company said that the price will not exceed US$192 million.
Wood Group PSN
Infinity will be brought under the Wood Group PSN brand and operate through its US business, also based in Texas. The acquisition of the firm, will give Wood Group a dedicated oil and gas brownfield services arm, that will complement the refining, chemicals and LNG services Wood Group already offers through its Wood Group PSN Australia Asia Pacific arm.
Wood Group is further seeing the opportunity to link Infinity into its Wood Group Mustang division, to offer the oil and gas industry a turnkey design and construction package.
Infinity, established in 1952, specialises in the downstream oil, gas and petrochemical sector. It offers services including project management, fabrication, construction, electrical and instrumentation.
The company is a family owned and run business that is headquartered in the Texas city of Clute. On top of its Clute HQ, Infinity operates across a further six locations along the Texas Gulf coast, in a business that employs 2,500. All Infinity personnel are set to merge into the Wood Group brand.
Speaking on the acquisition, president of Infinity, Harold Monical, Jr., said: ”Joining Wood Group allows us to expand our service offering to their diverse customer base and gives us exposure to larger scale projects while also continuing to serve our current market and clients,”
Wood Group PSN CEO, Dave Stewart, said: ”The addition of The Infinity Group gives Wood Group PSN service line expansion, sector diversification, and entry into the US petrochemical and other downstream sectors, coupled with access to new clientele.”
“Their 60-year history is a testament to the relationships they have built that we look forward to continuing and growing,”