Augean completes Colt acquisition

Augean completes Colt acquisition

Colt Holdings Limited and its wholly owned subsidiary Colt Industrial Services has been purchased by Yorkshire's Augean plc.

Based in Hull and established over 25 years ago, Colt provides a broad range of industrial services to a range of customers including major industrial companies, oil refineries, rail and utilities.

These activities include specialist tank cleaning and high pressure jetting, hydro abrasive cutting, asbestos removal and waste management and tanker haulage.

Augean, based in Wetherby, is one of the UK's leading specialist waste management businesses.

Through its Industry & Infrastructure and Augean North Sea Services business units, Augean has significant waste treatment and disposal infrastructure alongside a growing capacity for delivering client site industrial services.

The acquisition of Colt is in line with Augean’s strategy and enhances its offering by providing it with UK-wide coverage of specialist industrial services, important customer relationships, expertise and equipment.

Initial consideration for the deal on cashdebt free basis is £9.2m, plus additional potential earn-out based payments of up to £4.75m, subject to Colt securing certain contracts.

Audited revenue and EBITDA of Colt for the year ended 31 December 2015, on a proformal basis, were £7.1m and £1.4m, respectively.

The shareholders of Colt Holdings Limited were advised on the deal by Roger Esler, Tony Norwood and Paul Herriott at Dow Schofield Watts and by Nick Scott at Andrew Jackson.

Roger Esler, corporate finance director at Dow Schofield Watts, commented: “We are delighted to have advised this unique and highly specialised business on its sale to such a strategically motivated acquirer.

“Colt punches well above its weight by reputation, customer base and service delivery.

“Consequently, there was wide and international interest in the business but it was highly rewarding to find that the most compelling fit was with another dynamic Yorkshire business, Colt will undoubtedly thrive as part of the Augean Group.”