Motherwell Bridge Divests Small Turn-Around Division

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Motherwell Bridge Ltd, the Lanarkshire-based engineering contractor, has completed the divestment of its small turn-around division to Welsh company Unit Engineering & Constructors Ltd.

Headquartered in Humberside, the division specialises in providing teams of skilled men to carry out small, general engineering contracts on petrochemical sites.

Hugh Hayes, chairman of Motherwell Bridge, said: “Over the course of the past two years we have placed greater focus on our principal activities, namely the manufacture and maintenance of bulk storage tanks and heat exchangers, as well as materials handling projects in the UK, and gasholder projects abroad. As such, the small turn-around division was no longer a core part of the group.

“This arrangement benefits all parties involved. We will now buy-in certain services from Unit, but more importantly, the sale will preserve the 30 jobs on Humberside.”

Commenting on the recent performance of Motherwell Bridge, Mr Hayes said: “We continue to seek out opportunities at home and abroad, and have already received some exciting enquiries for 2010 and beyond.

“We have changed our financial year end to 31st December, to align with our Bahrain-based parent company, Kuwait Finance House (Bahrain), which has provided nothing but support since our acquisition in June 2008.

“In common with many other companies, we’ve had a challenging 2009. This has largely been due to the global problems in the steel producing industry, which has affected our short-term workload for the gasholder division. The low price of oil also impacted on some of our UK operations as it resulted in clients deferring expenditure, and the wildcat strikes at some sites also affected us financially.

“In spite of this, we have remained profitable, and have continued to meet all our debt repayments. In fact, we are currently £2 million ahead of our repayment schedule, and anticipate being further ahead by mid-2010.”

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