UK: 3sun Enhances Its Offering to Energy Industry

3sun Group, a specialist provider of products and services to the global energy industry, has announced the acquisition of RRC Controls Services Ltd, based in Gourdon Aberdeenshire. The deal, worth a six figure sum, is part of 3sun Group’s plans to expand its footprint in Aberdeen and enhance its service offering to the energy industry.

The acquisition of RRC Controls Services, an established manufacturer of subsea control systems for the offshore oil and gas industry, will allow 3sun to provide the global subsea market with full turnkey engineering solutions. Its unique USP will continue to be, to deliver at short timescales from a lower cost base, and all elements of a subsea system will be manufactured in-house, rather than being outsourced.

As part of the acquisition RRC Controls Services will be a wholly owned subsidiary of 3sun Group and all current staff will be retained. It is envisaged 40 new jobs will be created between Aberdeen, Gourdon and Great Yarmouth within the first 12 months. Many of the new jobs will relate to the development of a range of new products including a deepwater control module.

Graham Hacon, managing director of 3sun Group says: “RRC Controls Services deliver high quality products and services and we have been tracking its progress for some time now. We saw an opportunity to extend beyond our past working relationships through acquisition.

“Bringing RRC Controls Services into the 3sun Group combines our collective knowledge and resources to provide clients with full turnkey solutions, quickly and cost efficiently. This puts us in a unique market position to serve the global subsea sector whilst extending our oil and gas portfolio. It also strengthens our position in Aberdeen, which is a key market for us.  We will retain RRC Controls Services base in Gourdon which represents 5,000 sq ft site comprising of office and warehouse space.

“RRC Controls Services has completed projects for many of the major oil and gas operators and has never had a subsea failure on its own modules. We plan to draw upon this extensive experience to grow the business further, with plans to increase staff numbers significantly in the next three years.”

Ray Connelly, who will stay on in his role as director commented on the sale saying: “It is an exciting new era for the company which gives us the opportunity to increase capacity and benefit from being part of a larger group, whilst retaining our strong reputation for being customer focused.”

The acquisition of RRC Controls Services follows 3sun Group’s recent expansion into Denmark with the opening of an office in Esbjerg, to offer its range of products and services to a wider market and range of companies operating within the area.

Neil Tawse, regional director for 3sun Group said: “Preliminary feedback from the market and our key customers has been extremely positive and we look forward to further developing our existing strong relationships, as well as expanding our customer base in Aberdeen.”

Since the company was established six years ago, it has grown from an initial team of one to now employing 240 people across its headquarters in Great Yarmouth, England and bases in Oban, Aberdeen, Chester, Bergen Norway, Germany and in Esbjerg, Denmark.

Turnover has increased from £2.4million in 2010 to £6.5million in 2011 to £12million in 2012, and the Group is on target to achieve £13.5million in 2013.

Rapid growth has been achieved following the strategic acquisition of Dawson Energy in 2010, an industry leader in delivering installation and maintenance services for wind turbines, which has allowed 3sun to expand into the renewables industry. This move has in turn led to increased export activity for the Group.

The Group’s lead advisors for the transaction were Jon Dodge of JDC Corporate Finance and James Hunter of Mills & Reeve both based in Norwich.

3sun Group employs 240 staff and is currently working on several projects in the UK and Europe. The Group has extensive overseas experience in Europe, Asia, Africa, USA and New Zealand. The company will be exhibiting at Offshore Europe on stand 3C220 from 3-6 September 2013. Representatives from 3sun Group will be on hand throughout the exhibition to meet with visitors and showcase its range of products and services.

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Press release, August 28, 2013; Image: 3sun