Carlyle-Backed Applus Buys Technico

Applus, a Barcelona-based provider of inspection, certification, testing and technology services, has acquired Technico, a Canadian provider of non-destructive testing and inspections on the Canadian Atlantic seaboard. No financial terms were disclosed. The Carlyle Group and Caixa Catalunya acquired Applus in 2007 for €1.48 billion.

PRESS RELEASE

Applus+, a Spanish multinational specializing in testing, inspection, certification and technological services, announced today the acquisition of Technico, a Canadian firm specialized in non-destructive testing and inspections on the Canadian Atlantic seaboard. With this acquisition, Applus+ strengths its position as world leader in the field of non-destructive testing and increases its presence in Canada, where it has operated since 1990 from a branch in Edmonton, province of Alberta, with a workforce of more than 100 employees. Technico is Applus+’s fourth acquisition this year. Financial details were not disclosed.

Technico began its operations in 1976, and today has 133 employees in Canada and the United States. The company is headquartered in the province of New Brunswick and offers inspection, non-destructive testing and specialized engineering services to the industrial sector on the east coast of Canada and the United States. The company had a turnover of more than €10M last year.

“Technico’s technical capacity and experience will allow us to continue growing in the field of non-destructive testing and strengthen our position in the North American market,” explained Jorge Lluch, General Manager of Applus+. “Canada and the United States are priority regions under our business plan due to the high demand for quality inspection services and the wealth of opportunities in the gas industry, energy sector and related fields,” Lluch continued.

Non-destructive testing (NDT) refers to the set of techniques and technologies used to monitor the status and safety of installations and objects without affecting their integrity. These inspections were originally used mainly in the petrochemical industry and related sectors (e.g. gas and energy), and today are also used in a variety of fields, such as aeronautics, the food industry and water distribution and storage networks, generating a global turnover of €2.5 billion.

 

WORLD LEADER IN NON-DESTRUCTIVE TESTING

Technico will be integrated into Applus+’s non-destructive testing division. This business area, known as Applus+ RTD, is headquartered in Rotterdam, Holland, employs more than 3,000 people and works for the world’s leading petrochemical and energy companies. With more than 2,000 clients, it had a turnover of more than €300M in 2008.

Applus+ acquired the Dutch group RTD in April 2006, giving rise to Applus+ RTD, a division specialized in inspections and non-destructive testing. In 2008, Applus+ acquired the companies MB Inspection and JanX, market leaders in the United Kingdom and the United States, respectively, thereby becoming the global leader in inspections and non-destructive testing.

 

 

FOURTH ACQUISITION BY APPLUS+ IN 2009

Technico is Applus+’s fourth acquisition this year. In March, the company announced the acquisition of the environmental laboratory Ambitec, located in Madrid. Later, in June, it announced the absorption of CTS and Ekopol, in France and Poland, respectively.

In November 2007, the The Carlyle Group and a consortium led by Caixa Catalunya became majority shareholders of Applus+. The same year, the company implemented an ambitious strategic plan aimed at making it one of the five largest companies in the sector, doubling its turnover to a total of €1.2 billion by 2012. Applus+’s sales grew 24% in 2008, to €837M.