The latest acquisition in the construction industry highlights strategic growth moves by major players. OCU Group has successfully acquired Peter McCormack & Sons, a leader in trenchless technology.
- OCU Group, backed by private equity, continues its acquisition spree to bolster its utilities portfolio.
- Peter McCormack & Sons retains its identity and staff despite the sale to OCU Group.
- Recent financials of McCormack showcase its robust position, with significant net assets reported.
- OCU Group’s strategic acquisitions underscore its commitment to expanding sustainable solutions.
In a strategic move aimed at enhancing its portfolio of sustainable solutions, OCU Group, a specialist in utilities, has announced the acquisition of Peter McCormack & Sons. The company, based in Northern Ireland, is renowned for its expertise in trenchless technology, particularly horizontal directional drilling and utility work, since its inception in the 1970s.
The acquisition of Peter McCormack & Sons, which will continue to operate under its own brand and with its existing workforce, was disclosed by OCU for an undisclosed amount. Michael Hughes, chief executive of OCU Group, emphasised the strategic fit of McCormack, stating that it will significantly enhance the group’s sustainable solutions offerings.
Peter McCormack & Sons’ recent accounts, ending 30 June 2023, demonstrate the firm’s strong financial standing, reporting net assets of £7.6 million with £2.7 million owed to creditors within a year. The firm maintains its operational integrity with an average workforce of 25 staff.
OCU Group revealed the acquisition shortly after releasing its robust financial performance for the year ending 30 April 2024. Despite a notable increase in revenue by 34% to £610.6 million, the company reported a pre-tax loss of £30.9 million.
The acquisition aligns with OCU Group’s strategy of growth through strategic acquisitions. Over the past year, the group has made substantial acquisitions, including Purestream Industries and RJ McLeod, illustrating its commitment to expanding its technical and engineering capabilities. OCU, ranked 43rd in the CN 100 list, continues to leverage its position to pursue further acquisitions with a set budget of £150 million.
OCU Group’s acquisition of Peter McCormack & Sons exemplifies its commitment to strategic growth and sustainable solutions in the utilities sector.
