Van Elle Holdings has successfully acquired Albion Drilling Holdings Limited for a total of £3.5 million, marking a significant strategic move.
- Albion Drilling, known for its role in significant projects like the Aberdeen Western Peripheral Route, complements Van Elle’s existing capabilities.
- The acquisition will see Albion’s team, led by managing director Jim King, integrate into Van Elle while maintaining their brand identity.
- Jim King will take on a broader role within Van Elle as director for Scotland, further aligning operations.
- This acquisition enhances Van Elle’s presence in Scotland, aligning with their growth strategy in the energy sector.
Van Elle Holdings, a leading name in the UK’s ground engineering sector, has expanded its operations by acquiring Albion Drilling Holdings Limited. The acquisition, valued at £3.5 million, involves an initial cash payment of £2.1 million and £0.6 million in Van Elle shares to Albion’s owners. Additionally, a potential deferred payment of £800,000 is contingent upon future targets. This structured approach reflects Van Elle’s strategic intent to strengthen its market position.
Albion Drilling is acclaimed for its proficiency in projects such as the Aberdeen Western Peripheral Route. With expertise in blasting, drilling, ground stabilisation, and rock anchoring, Albion brings valuable capabilities to Van Elle’s operations. The acquisition ensures that Albion’s 31 staff, including managing director Jim King, continue under the Albion brand, now as part of Van Elle’s Specialist Piling division.
Jim King, a pivotal figure in Albion, assumes an extended role as Van Elle’s director for Scotland. Reporting directly to Malcolm O’Sullivan, the chief operating officer, King is positioned to steer the integration and co-location of facilities at Stirling, enhancing Van Elle’s operational capabilities in Scotland.
This deal underscores Van Elle’s commitment to expanding its expertise and customer base. According to Van Elle’s chief executive, Mark Cutler, the acquisition is an exciting progression in their growth strategy, especially within the energy sector. Albion’s reputation as a specialist contractor, coupled with its skilled team, is seen as a perfect fit for Van Elle’s strategic objectives.
Financially, Albion reported a turnover of £5.5 million with a profit before tax of £800,000 for the year ending January 2024. The acquisition, therefore, not only strengthens Van Elle’s market presence but also brings a financially robust entity into their fold.
The acquisition of Albion by Van Elle marks a strategic expansion, enhancing their capabilities and presence in Scotland.
