JDR Cable Systems today announced that it is to be acquired by TELE-FONIKA Kable (TFKable), a global producer of wires and cables.
The transaction, which is subject to receipt of required regulatory approval and consents and other customary closing conditions, is expected to close in Q3 2017.
JDR stated that TFKable has been its important business partner providing water blocked power cores for its cable and umbilical systems and that JDR’s subsea systems – used in the global offshore oil, gas and renewable industries – will enhance the range of cable solutions TFKable can provide to its customers.
Monika Cupiał-Zgryzek, Chief Executive Officer of TFKable, said: “TFKable is a strategic investor with long-term vision for JDR, sufficient resources to support its continued growth, and vast knowledge of the market. We highly appreciate JDR’s experienced people, recognised brand name, technological competence and a successful track record with regards to numerous innovative products.
“TFKable is planning to maintain JDR’s operations in current locations, providing new opportunities for the local employees and business partners, and offering our customers innovative solutions.”
David Currie, JDR’s Chief Executive Officer, said: “This acquisition creates a strong platform for JDR to enhance its position in offshore energy cables and umbilicals. It demonstrates the value JDR’s leadership has created through targeted investment in subsea technology, services and manufacturing facilities, and the talent and expertise of our staff. This news marks the next exciting chapter of our business.”
Jonathan Guest, Principal at Vision Capital, JDR’s selling majority owner, commented: “Our investment in manufacturing facilities has transformed JDR, tripling revenues and growing the business to become a leading supplier to the oil, gas and renewables industries. We are delighted to have secured a long-term strategic owner for the business in the next stage of its development.”
Simmons & Company International is acting as financial advisor and Macfarlanes LLP is serving as legal counsel to Vision Capital. Mills & Reeve is acting as legal counsel to the JDR management team. JP Morgan and Société Générale are acting as financial advisors and CMS is serving as legal counsel to TFKable.