Fenner continues on US acquisition trail
FENNER, the world leader in conveyor belt manufacturing, has acquired the assets of U.S.-based King Energy Services of Colorado in a deal worth $1.9m (£808,000) it announced today.
King Energy Services of Colorado, a New Mexico corporation based in the USA (KESCO), specialises in the sale of conveyor belts and provides splicing, repair and installation services relating to conveyor belts.
KESCO was closely associated with King Energy Services which was acquired by Hull-based Fenner in April this year.
Al Bonneau, the major shareholder in KESCO will continue to work with the business as part of Fenner .
Fenner chief executive Mark Abrahams said: “KESCO will be integrated into the Fenner Dunlop Conveyor Systems and Services business both enhancing our local capability and reinforcing our leading market position.”
Fenner is a world leader in the field of reinforced polymer engineering.
Its products include conveyor belting for the mining, power generation and industrial markets, sealing products for the mining, hydraulics and energy industries; and technical textile structures for medical and industrial applications.
The group has recently bought a number of new companies in America.
Fenner bought Winfield, based in Buffalo, New York, which manufactures polyurethane and silicone-moulded products used in missiles and film processing and technical fabrics business Prodesco in a deal worth up to £32m.
Last November the group paid £1.3m for the New York privately-owned engineering business B-loc which produces and sells specialist power transmission and motion control components and in December it bought an
Australian company.
Fenner has warned that it is at risk from volatility in the worldwide economy – particularly in America – and that the cost of raw materials in its manufacturing processes could impact the group’s overall performance.
However, the group is confident that its strong order book and recent acquisitions will see it deliver a strong performance for 2008.
