You are here
CSE Global to acquire US industrial power systems manufacter for US$25.1m
CSE Global’s indirect wholly-owned subsidiary CSE Americas has fully acquired the issued and outstanding membership interests of industrial power systems manufacturer Volta for US$25.1 million from individuals Bradley Davis and Julio Parpacen, in an announcement on Monday after trading hours.
The sum will paid in two tranches: an amount of US$22.9 million on Aug 30,2019 to the sellers, and an amount of US$2.2 million into an escrow account for the balance.
The acquisition, which will be financed using internal resources and bank borrowings, is in line with the long-term business plans of CSE, said the mainboard-listed company. It intends to expand through acquisition of companies with specialised skills and technologies complementary to its existing businesses and to strengthen its geographical coverage.
According to the company, combining CSE’s engineering, automation and instrumentation and electrical service capabilities with Volta’s capability to design and fabricate large scale electrical equipment centers will result in a “full-stream offering” for the energy industry and petrochemical customers.
The addition of Volta will create opportunities and enhance its positioning in midstream oil and gas markets, added CSE.