Severfield may have to pay up to 拢25m eventually, depending on how Harry Peers performs by the back end of 2020.
With Harry Peer鈥檚 strengths in the petrochemicals, process and power sectors, the acquisition takes Severfield into new and complementary markets, including nuclear decommissioning.
For the 12 months to 30th April 2019, Harry Peers made a pre-tax profit of 拢3.4m on revenue of 拢21.2m. The value of its gross assets at year-end was 拢24.0m.
The board of Severfield sees the long-term investment profile of Harry Peers鈥� customer base in regulated markets broadening its market exposure.
Severfield chief executive Alan Dunsmore said: 鈥淭his acquisition will help Severfield continue to deliver on its strategic objectives. Harry Peers鈥檚 experience in specialist, highly regulated, non-cyclical markets will enhance our future growth plans through expanding the group鈥檚 capabilities and sector reach.
鈥淲e believe Severfield is best placed to help Harry Peers continue its profitable growth trajectory, through increased scale and investment and together with Harry Peers鈥檚 strong management team we have a real opportunity to develop a broader position within the UK structural steel services market.鈥�
Got a story? Email news@theconstructionindex.co.uk
