Rutter buying Digital Products’ systems engineering division

Rutter Technologies Inc. has agreed to buy the Systems Engineering division of Digital Products Ltd. (DPL) for $750,000 on or before Oct. 31, 2003. Rutter will pay $450,000 at closing and $100,000 per year for three years.

10/02/2003


Rutter Technologies Inc . has agreed to buy the Systems Engineering division of Digital Products Ltd. (DPL) for $750,000 on or before Oct. 31, 2003. Rutter will pay $450,000 at closing and $100,000 per year for three years. The transaction is subject to final due diligence, approval by Rutter's board approval, and all related regulatory approvals.

''This division specializes in electrical, instrumentation, controls, and systems integration and is complementary to our business,'' says Art Garland, president of SEA Systems Ltd., which is owned by Rutter. ''With locations in St. John and Bedford, Nova Scotia, this division has proven to be a very formidable competitor in Atlantic Canada, a region with a strong marine sector, and one that we feel will continue to emerge as an internationally recognized oil and gas area.''

Garland adds that, ''While DPL has not focused specifically on the marine sector, its Systems Engineering Division has proven itself to the major industrial players in New Brunswick and Atlantic Canada. These clients are well known nationally and internationally, and in some cases, have significant marine and oil and gas holdings. This strengthens our presence in strategic locations in Atlantic Canada, and brings SEA's expertise to existing DPL relationships. This creates an excellent opportunity to grow and develop new business in existing accounts.''

Donald Clarke, Rutter's chairman and CEO, adds that, ''The division we'll purchase is profitable and earned revenues in excess of $3.8 million last year. There are excellent synergies among SEA, Rutter products, and our overall business strategy. This acquisition gives us a quality revenue stream, and adds experienced capacity that SEA will need as we compete for larger contracts internationally.''

Established in 1974, DPL is a diverse, technology-based company, and its Systems Engineering division is ISO certified and a registered electrical engineering firm specializing in automation, particularly PLC programming and control software configuration. For more than 12 years, DPL Systems Engineering has provided turnkey control systems and engineering consultation for a wide range of Canadian industrial sectors. SEA Systems specializes in electrical, instrumentation, controls, and systems integration. While it services the pulp and paper, mining, utility and municipal sectors, its core strengths are in the marine and offshore oil and gas sectors.

—Jim Montague, news editor, Control Engineering, jmontague@reedbusiness.com





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