Weir in £200m offer for Aussie firm
Saturday 11 February 2012
Weir Group, the deal-hungry FTSE 100 pump manufacturer, revealed more appetite for acquisitions yesterday, when it made an A$294m (£200m) offer for an Australian mining equipment maker.
Weir's A$7.92-a-share approach for Ludowici is 10 per cent higher than one by Danish rival FLSmidth last month. But the British pumpmaker said that its bid was still "subject to the satisfactory completion of due diligence and may or may not lead to an offer".
Ludowici, which employs 1,000 people around the world, makes vibrating screens and centrifuges that are used mainly in the coal-mining industry.
Weir's chief executive, Keith Cochrane, said: "Ludowici is a respected brand in the coal processing sector. The potential acquisition would expand our exposure to the attractive and fast-growing coal sector where Weir is relatively unrepresented."
If the deal does go ahead, it will be the company's third acquisition in almost as many months, with the previous two focusing on the controversial "fracking" method of gas extraction.
Last month, it spent $176m buying Novatech, a Texan pump parts manufacturer, while in November, it paid $675m to buy US wellhead specialist Seaboard Holdings.
Both firms make equipment used in fracking.
- 1 Saudi Arabia mosque bombing: Two volunteer security guards hailed as heroes for stopping Isis suicide bomber reaching worshippers
- 2 Maisie Williams has an excellent message for one confused fan
- 3 There is something wrong but very right about this Bible illustration
- 4 Puerto Rico, island of lost dreams: People are leaving the debt-hit territory in droves as near neighbour Cuba's star rises
- 5 Tampon tax scrapped in Canada after petition convinces conservative government
Saudi Arabia mosque bombing: Two volunteer security guards hailed as heroes for stopping Isis suicide bomber reaching worshippers
Maisie Williams has an excellent message for one confused fan
Archaeologists discover 2,400-year-old gold bongs in Russia
Tampon tax scrapped in Canada after petition convinces conservative government
Migrants in Kos: Photos show real tragedy after British tourists complain of 'awkward' holidays
EU referendum: David Cameron's rules are a 'democratic disgrace', says French-born Scottish politician set to be denied a vote
British tourists complain that impoverished boat migrants are making holidays 'awkward' in Kos
Migrants in Kos: Photos show real tragedy after Brits abroad complain of 'awkward' holidays
A nation of inequality: How the UK is failing to feed its most vulnerable people
Australian man punched in the face for defending Muslim women from abuse on train
David Starkey 'tells Amal Clooney to shut up and stop over-promoting human rights'
iJobs Money & Business
£30 - 35k: Guru Careers: We are seeking a Pricing Analyst to join a leading e-...
£20000 - £25000 per annum + OTE £45K YR1: SThree: At SThree, we like to be dif...
£20000 - £25000 per annum + competitive: SThree: Did you know? SThree is a mul...
£55 - 65k (DOE): Guru Careers: A unique opportunity for a permanent C# Develop...