Private equity buyout for Cosalt Offshore

The news comes amidst speculation this week that Cosalt PLC is heading into administration.

Cosalt Offshore is part of Grimsby-based Cosalt PLC, which revealed last week that it was likely to go into administration by the end of February unless it could reach an agreement with its banks to settle outstanding debts.

The sale of Cosalt Offshore will bring together the company’s technical expertise in offshore lifting, inspection and safety services with ATR’s global equipment rental service to serve the offshore maintenance sector.

The news has been welcomed by many after a long period of uncertainty for the company – the acquisition will help to safeguard jobs and mean there is money in the pot to capitalise on international growth opportunities.

ATR chief executive, Keith Moorhouse, who will lead the new group, said: “The deal will bolster ATR’s growth by opening up the Norwegian sector and improving its operational capacity through access to Cosalt’s skilled engineers, technicians and inspectors and its substantial equipment hire fleet.”

Together ATR and Cosalt will employ almost 400 people with a turnover of £55m and will seek to consolidate and grow the two businesses to over £100m turnover both organically and by acquisition.

Meanwhile, Cosalt PLC’s shares in Cosalt Workwear could also be reportedly sold to a third party by administrators.

No employees, customers or suppliers are expected to be affected by the disposal of assets with trading continuing as normal.