Rheinhold & Mahla Acquires Salamis

Rheinhold & Mahla AG

Munich-based Rheinhold & Mahla AG, a member of the Bilfinger Berger Multi Service Group, has acquired the Aberdeen, U.K.-based Salamis Group Ltd effective July 12, 2006.

Upon the purchase contract being signed, Rheinhold & Mahla acquired a 100% stake in Salamis Group Ltd, from The Maersk Co. Ltd. Salamis provides operational maintenance services in the U.K. offshore and onshore oil and gas markets and, with more than 1,500 employees, generates total revenues of more than EUR160 million. The company has operations in Canada, Denmark, the U.K., and the U.S.

Rheinhold & Mahla already has a strong presence in the Norwegian offshore market. The Salamis acquisition will allow the group to become a leading provider of industrial maintenance services to the entire North Sea and international oil and gas market.

Salamis provides a wide range of operational maintenance services such as insulation, scaffolding, surface protection, cleaning, and inspection. It has established relationships with blue-chip customers in the oil and gas industry. With offshore maintenance expertise, such as rope access for working at heights and non-destructive testing, Salamis offers an ideal supplement to the range of services being provided across the entire Rheinhold & Mahla Group. As a result of the takeover, R&M will gain access to new core markets. At the same time, it plans to extend its activities in the offshore segment in the North Sea and simultaneously reinforce onshore activities.

“Thanks to the acquisition of the Salamis Group, we are convinced that our business strategy, which is based on solution-oriented service packages, will be further reinforced in the offshore industry as well,” said Thomas Töpfer, CEO of Rheinhold & Mahla AG. “Given the growing need for maintenance services in the oil and gas industry, we have created an excellent basis for supporting our customers in the long term as a reliable partner and assisting them in meeting the increasingly stringent safety, productivity, and availability requirements in the offshore segment. The integration of the Salamis Group as one of the leaders of the U.K. offshore maintenance industry marks a key milestone in our efforts to place this business model on a broad footing and affirms once more our position as a leading provider of industrial services in the European process industry.”

“Salamis is recognized within its areas of operation for reliability, safety, and quality of service, as well as innovation,” said Bill Allan, Salamis’ chairman. “This is a good move for all involved with the company and we are delighted that the new owner is a respected, international company with the intention of building on our experience, reputation and worldwide customer base to move into new areas of the international oil, petrochemical and power markets.”

“The core values of the two companies are particularly well aligned,” added Ian Nickerson, Salamis’ CEO. “There is a focus on strong, long-term client relationships, technical development and value enhancement throughout the entire lifecycle of client assets, underpinned by the priority given to people development. Salamis will continue to operate from its headquarters in Aberdeen, but will now enjoy the additional benefits of having the considerable technological and human resources of a major, sector-focused parent behind it.”