Merger Creates Leading Energy Services Group In The North East

Two North East companies, specialising in Mechanical & Electrical Engineering for the Power, Oil and Gas, Refining, Chemical and Renewable Energy Sectors, have merged to form ENEX Group Limited. The merged companies, Mechanical Engineers Flow Matters (started in 2001) and Electrical contractors Technical Ex Services (UK) (started in 2005) have now relocated to larger premises at Port Clarence Offshore Base by the River Tees in Middlesbrough.

The merged group has a strong business model focusing on building long-term partnerships by creating a professional M & E support company specialising in engineering design, survey/inspections, procurement, installation, commissioning and after sales support for Offshore and Onshore clients in the industry.

Wayne Hodgson, Managing Director of ENEX and former head of Flow Matters, commented: “This is a very important move for us. Our previous two companies offered complementary services and it made perfect sense to merge and share our resources to provide a multi discipline turn-key solutions provider to our national offshore and onshore clients”.

“As our major customers continue to grow in size and influence, we aspire to do the same. Many of them are now looking for longer term committed supply contract partnership and ENEX Group fully intends to promote a similar expansion to support these contracts. We will therefore be rapidly expanding locally in Engineering, Mechanical & Electrical trades and we are setting up ENEX Group’s first Apprenticeship Scheme. We are also on track for opening our Southern UK Operation by the end of this year and our Aberdeen Operation by the end of the 1st quarter 2012.

Dave Jackson, Contracts Director of ENEX Group and former head of Technical Ex Services (UK), added: “We have been very busy indeed since the merger and business is thriving. ENEX aims to be the first choice business for integrated solutions across multiple market sectors.

ENEX Group has the flexibility, scale and high level of service which we believe is needed in today’s marketplace to capture improved value across the sectors.

We have had a very positive response since we joined forces”.

The merger was brokered by Nigel Williams of the Teesside office of leading law firm Dickinson Dees and by Angus Allan of Clive Owen Corporate Finance.

Dickinson Dees advised on the legal structure of the merger, which was a 50/50 split between Flow Matters and Technical Ex Services, while Clive Owen advised on the financial structure, valuations and provided taxation advice.

Nigel Williams said: “We were especially pleased that our work on the ENEX Group merger came to us on recommendation from another local business, which our energy team had previously advised. The merger was a genuine 50/50 partnership, and both parties were keen to get the deal done so they could crack on with growing the business.

He added: “We were delighted to assist and we look forward to helping Wayne and Dave grow their business into the powerful regional, national and international player it aspires to be.”

Angus Allan, partner at Clive Owen Corporate Finance said: “It was immediately evident that by combining the two businesses, new larger opportunities could be successfully tendered for and delivered”

Mr. Hodgson and Mr. Jackson said: “We would like to thank both Dickinson Dees and Clive Owen & Co for a first-class service. They orchestrated the merger, worked diligently on our behalf and ensured that everything happened seamlessly”.