ENGlobal announces two acquisitions

ENGlobal Corp. reports that a subsidiary has acquired some contract rights and equipment from Oklahoma-based Instrument Services Company LLC (ISC). ISC specializes in providing technical support to oil and gas, power generation, and other processing environments.

01/06/2005


ENGlobal Corp . reports that a subsidiary has acquired some contract rights and equipment from Oklahoma-based Instrument Services Company LLC (ISC). ISC specializes in providing technical support to oil and gas, power generation, and other processing environments. No liabilities were assumed in this transaction.

This new business unit will operate as the Instrument Services Division of ENGlobal Design Group Inc., a subsidiary of ENGlobal. ISC uses its technicians for various project and maintenance work in process controls, start-up and commissioning support, equipment installation and relocation, and equipment controls upgrades.

In another deal, ENGlobal adds that another subsidiary, ENGlobal Systems Inc. (ESI), has purchased certain contract rights and other assets of InfoTech Engineering Co., located in Baton Rouge, LA. InfoTech offers information consulting and control systems integration services, and specializes in automation and process control. InfoTech's primary experience is in onshore and offshore oil and gas and petrochemical industries. No debt or liabilities were assumed in this transaction either.

Including these two acquisitions, ENGlobal completed five asset acquisition transactions during 2004. Previously, the company completed transactions expected to improve its capabilities in inspection services, automated fuel handling systems, and government contracting.

"These acquisitions, albeit small in scope, bring expertise in their respective fields. We see the advantages for these acquisitions as three-fold: each company offers a unique industry niche; the synergies complement ENGlobal's organizational structure; and the acquisitions are consistent with our strategy of gaining 'vertical' growth by adding new service capabilities for our clients," says Michael Burrow, P.E., ENGlobal’s chairman and CEO.

ENGlobal provides engineering services and systems, mostly to the petroleum refining, petrochemical, pipeline, production, and process industries in the U.S. and internationally. ENGlobal's multi-disciplinary engineering services group develops projects from the initial planning stage through detailed design, procurement, and construction management. The systems group develops, manufactures, installs, and services control and instrumentation systems used in various energy and process-related industries, and provides services and products that support the advanced automation and environmental technology fields.

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





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