Posted in | News | Business

Dresser-Rand to Acquire Turbo Machines Field Services

Dresser-Rand Group Inc. ("Dresser-Rand" or the "Company") (NYSE: DRC), a global supplier of high-speed rotating equipment and service solutions, announced today that Dresser-Rand has signed an agreement to acquire the assets of Turbo Machines Field Services (Pty) Ltd. ("TMFS"). Closing is expected to occur in early May 2010.

TMFS, an independent company founded in 1997, is headquartered in Centurion, near Johannesburg, South Africa, where it operates a state-of-the-art service and repair facility. TMFS is the leading South African non-OEM replacement parts supplier for steam turbine and centrifugal compressor products manufacturing key components such as turbine blades, compressor impellers, bearings and seals. Additionally, TMFS provides engineered solutions for equipment upgrades and field services for critical rotating equipment applications. The company's clients are in the oil, gas, petrochemical, and industrial sectors located primarily in South Africa and the rest of the sub-Saharan market.

"The acquisition is consistent with Dresser-Rand's strategy of core business expansion in key and underserved markets, and provides the Company with a local presence close to major end users and access to an extensive installed base of rotating equipment in sub-Saharan Africa. The Company believes that being local is crucial to developing aftermarket and new unit opportunities," said Luciano Mozzato, Dresser-Rand's executive vice president, Services Worldwide.

Additionally, the acquisition provides Dresser-Rand additional capabilities to expand engineered solutions for the power generation sector and enhance its Applied Technology and Field Services businesses in this key geography. The acquisition is expected to be neutral to earnings in the first year and accretive thereafter.

"TMFS has an excellent reputation in the markets it serves as evidenced by its long-term relationships with major end users. The company has strong manufacturing engineering, applied engineering and metallurgical capabilities focused on providing upgraded turbo-machinery parts that solve operating problems. It strengthens Dresser-Rand's capabilities to service and repair the installed base of rotating equipment in the region," said Nicoletta Giadrossi, Dresser-Rand's vice president and general manager for Europe, Middle East, and Africa. "TMFS is expected to provide us with an excellent platform for modernizing non Dresser-Rand equipment with our latest technology throughout this region. The company has an experienced management team, a reputation for high quality and excellent service, and an impressive record of profitable growth."

Danie Grobler, TMFS' co-founder and Managing Director, added, "We are truly excited about becoming part of a global OEM with the reputation and resources to create opportunities we could not create on our own. We look forward to the added capabilities and offerings we can now bring to clients, and I am confident that the combination of Dresser-Rand and TMFS provides unparalleled value for our clients and opportunities for growth in the region."

Tell Us What You Think

Do you have a review, update or anything you would like to add to this news story?

Leave your feedback
Your comment type
Submit

While we only use edited and approved content for Azthena answers, it may on occasions provide incorrect responses. Please confirm any data provided with the related suppliers or authors. We do not provide medical advice, if you search for medical information you must always consult a medical professional before acting on any information provided.

Your questions, but not your email details will be shared with OpenAI and retained for 30 days in accordance with their privacy principles.

Please do not ask questions that use sensitive or confidential information.

Read the full Terms & Conditions.