Sheffield based, heavy engineering company DavyMarkham has been acquired by India’s Hindustan Dorr Oliver (HDO) Limited (a subsidiary of IVRCL Infrastructures and Projects Ltd.) for US$12.76M. The acquisition provides HDO an entry into the Heavy Engineering sector.
The firm’s Managing Director, Kevin Parkin and Financial Director, Duncan Hay, will continue in their current roles along with the management team.
DavyMarkham is best known to the tunnelling sector for its TBM capabilities, having produced cutter heads for a variety of projects including the Niagara Falls hydroelectric project, railroad tunnels in China, and for having worked extensively on such landmark projects as the Channel Tunnel
“It is great news for DavyMarkham’s customers, employees and suppliers, since HDO along with its parent is financially very strong, is very growth orientated and dedicates itself to continuous improvement in all fields of its business,” said Kevin Parkin.
IVRCL is amongst the leaders of the Indian infrastructure industry and is engaged in the development and execution of engineering, procurement and construction (EPC) and lump sum turnkey (LSTK) projects in key infrastructure sectors such as power, water & environment, transportation and construction. With a group turnover exceeding US$1bn, it owns a controlling stake in HDO.
HDO sees the acquisition as a platform for expanding into new sectors using DavyMarkham’s corporate credentials and engineering expertise. It intends to leverage on this expertise and gain a foothold amongst domestic heavy engineering clientele. IVRCL as a group introduces the Sheffield based company to its existing international contacts.
HDO intends to invest strategically in new plant and equipments at the Darnall works, continue the company’s successful apprentice training scheme and expand DavyMarkham’s sales and marketing infrastructure, to tap into the opportunities in India.
“We shall certainly need more skilled workers and to train up people to fill important management and production roles, as the business grows,” says Kevin Parkin. “The good news for young people and their parents in the region is that we shall be able to offer jobs with a good future in an expanding industry, for many years to come.”