A Newton Aycliffe-based provider of subsea cable, umbilical and flexible pipe protection systems has revealed plans to float on AIM. Tekmar, which expects the flotation take place this month (June 2018), operates two primary divisions.
The £22m turnover group operates an Offshore Wind Farm division which focuses on the provision of subsea protection for power transmission cables from and between offshore wind turbines, while its Subsea business focuses primarily on the provision of subsea protection for umbilicals and flexible pipes to the oil and gas market.
Both divisions are supported by AgileTek which provides subsea analysis, simulation and engineering consultancy services. The group said it was well-positioned for continued growth in a marketplace shaped by technological progress, growth in the scale of the offshore wind industry and a reduction in the cost of capital.
Building on the growth already achieved in recent years, Tekmar said it has the potential to accelerate its growth to meet demand in the expanding offshore wind market as a consequence of the lower cost of offshore wind farm projects in Europe which is expected to lead to more projects coming online more quickly, and the growing emerging market opportunity for renewables in new geographies such as Asia-Pacific.
Growth will be driven by Tekmar increasing its market share in the subsea oil and gas market; adding new product variations to meet the needs of existing and future clients; and making selective acquisitions.
Tekmar chief executive James Ritchie said: “We are delighted to announce our intention to float. Our plans to join the AIM market follow a period of consistent, strong organic growth supported by the group’s current owners, Elysian Capital.
“Tekmar is already the undisputed leader in offshore wind cable protection systems and it is our objective to become the partner of choice for the supply of subsea protection equipment to the global offshore energy markets.
“Admission to AIM will enhance our profile and brand recognition further in our sectors and allow us to execute our strategy to grow in both existing and new markets and geographies.”
Story by Inside Media
