- 9 May 2007 -

New buyer for Weir Pumps

Following Sulzer’s unsuccessful bid last month, the Weir Group plc has sold its Glasgow, UK-based operation, Weir Pumps, to Clyde Pumps Ltd, a Clyde Blowers portfolio company, for approximately £45 million.

According to a press release, all employees of Weir Pumps will transfer to Clyde, which intends to continue Weir Pumps’ new equipment and spares business and to build a centre of excellence in pump technology, hydraulic design and engineering in Glasgow. It will run the business from the Cathcart site, which remains with the Weir Group, until 2009 when it intends to invest in a test, development and manufacturing facility in the greater Glasgow area with than 400 employees.

Weir Pumps’ services division does not form part of the sale and will remain part of the Weir Grou, maintaining its existing commercial relationship with the pumps business including access to intellectual property and an exclusive service relationship with Clyde in the key markets of the UK, Middle East, Canada, and Australia.

In the year ended December 2006, the Weir Pumps business generated third party revenues of £70.5 million and operating profits of £4.2 million. “The Weir Pumps Glasgow business represents less than 8% of Weir Group revenue and less than 5% percent of annual profits,” said Mark Selway, chief executive of the Weir Group. “Following the termination of our discussions with Sulzer AG we evaluated all options regarding the future of Weir Pumps and the sale to Clyde represents the best way forward for the business, employees and shareholders alike.”

www.weir.co.uk

To receive news and features like this direct to your inbox sign-up for the World Pumps enewsletter.

Simply register your details to receive a fortnightly roundup of the latest news from the pump and sealing industries direct to your inbox.

If you would like to advertise in the World Pumps enewsletter please contact our sales team.

If you have some news for the pump industry or would like to comment on any of the articles on this site, contact our editorial team.

You can also access the full list of contacts here.