Acquisition

RNS Number : 6184K

Intertek Group PLC

12 April 2018

 

INTERTEK TO ACQUIRE PROASEM   Intertek Strengthens Leadership in Latin America with Acquisition of Colombian Testing and Inspection business

12 APRIL 2018

Intertek Group plc ('Intertek'), the global Total Quality Assurance provider to a range of industries worldwide, is pleased to announce that it has agreed to acquire Proasem, a leading provider of laboratory testing, inspection, metrology and training services, based in Colombia.

With over 16 years of experience and a network of strategically located laboratories across Colombia, Proasem has a particularly strong presence in the laboratory fuel testing market and is a trusted partner to many of the world's leading oil and gas companies. Proasem's inspectors provide quality and quantity inspection services during critical transportation, custody transfer and storage operations whilst the company's metrology business provides its clients with best-in-class calibration services.

In light of the continued structural growth of regional and global trade flows, companies are seeking a partner to assist them to mitigate risk at every stage of their supply chain. The acquisition of Proasem, which is enjoying strong organic revenue growth, will strengthen Intertek Caleb Brett as a leader in providing Total Quality Assurance solutions to its oil & gas and cargo customers in the attractive Colombia and wider Latin America region.

Furthermore, it will add a complementary range of services, laboratories and inspection capabilities whilst creating the largest combined laboratory fuel testing network in the country. Proasem will benefit from full access to Intertek Caleb Brett's state-of-the-art testing laboratories, leading inspection capabilities as well as Caleb Brett global and regional customer base.

With a 130-year track record of performance, Intertek Caleb Brett operates a global network of laboratories and delivers the highest quality of Inspection and Testing services with precision, pace and passion to customers with full transparency to minimise risk across their complex supply chains.

Proasem employs 190 people and in 2017 generated revenues of c.£4.5 million.

The acquisition is subject to customary regulatory closing conditions and expected to complete in the next four weeks.

André Lacroix, Chief Executive Officer of Intertek, said:

"The acquisition of Proasem uniquely positions Intertek to provide a differentiated Total Quality Assurance service offering for the oil and gas industry in Colombia. It creates a highly complementary network of laboratories and further expands and enhances Intertek Caleb Brett's world leading service offering. We welcome Proasem and its people to Intertek and are excited about working together to seize the structural growth opportunities and leverage the global expertise of our TQA experts."

A video describing how Proasem complements Intertek's Total Quality Assurance services, can be viewed at www.intertek.com/investors/

-ENDS-

Contacts

For further information, please contact:

Investor Relations

Telephone:           [phone]         [e-mail]

Jonathon Brill, FTI Consulting

Telephone:           [phone]         [e-mail]

About Intertek Total Quality. Assured. Intertek is a leading Total Quality Assurance provider to industries worldwide. Our network of more than 1,000 laboratories and offices and over 43,000 people in more than 100 countries, delivers innovative and bespoke Assurance, Testing, Inspection and Certification solutions for our customers' operations and supply chains. Intertek Total Quality Assurance expertise, delivered consistently with precision, pace and passion, enabling our customers to power ahead safely. Visit www.intertek.com

 

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