OEG buys Manor Renewable Energy in boost to offshore wind ops

UK equipment and services firm OEG Offshore Ltd has significantly expanded its offering to the global offshore wind industry with the acquisition of domestic engineering and fleet provider Manor Renewable Energy (MRE), a statement showed on Tuesday.

The financial details of the purchase were not furnished. Dorset‐based MRE generates a turnover of about GBP 30 million (USD 40.4m/EUR 35.8m), the buyer said.

The acquired business, set up in 2013, offers support and maintenance for over 150 offshore generators. Its largest contract is Ørsted’s (CPH:ORSTED) Hornsea 2 project. MRE also has engineering and vessel operations and owns the Manor Marine shipyard. The company has five proprietary and two chartered offshore support vessels and is in the early stages of planning a hydrogen vessel.

OEG sees the deal as a way to increase its revenue from offshore wind operations and maintenance (O&M) activities, in addition to its existing capabilities in offshore project construction. The acquisition of MRE adds four locations in the UK, including Scotland, as well as operations experience in Europe and Taiwan. The business is looking to beef up its presence in the Far East as well as to break into the US market.

OEG said it is already bidding to provide multiple services on offshore wind projects. It expects to capitalise on the pick-up in the UK offshore wind market, in light of ScotWind last week giving the green light to 17 new projects of up to 25 GW in total.

The transaction builds on OEG's purchase last year of offshore workforce services firm Pegasus Welfare Solutions, offshore radio communications specialist Fern Communications and diving contractor Hughes Subsea Services.

(GBP 1 = USD 1.346/EUR 1.195)

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