TORONTO, June 01, 2023 (GLOBE NEWSWIRE) — Shawcor Ltd. (“Shawcor” or the “Company”) (TSX: SCL) announced today that it has sold its Shaw Pipeline Services (“SPS”) operating unit to a US-based investor group which includes Achieve Capital LLC and members of current SPS management. This transaction resulted from the Company’s previously announced strategic review process.
With this sale, the Company’s Pipeline and Pipe Services (“PPS”) segment will consist entirely of the Pipeline Performance Group (“PPG”) operating unit, for which a previously communicated strategic review process is ongoing.
“Today’s announcement is consistent with the Company’s strategy to direct capital into a more focused portfolio, driving organic and inorganic growth within its high value, materials technology based Composite Systems and Automotive and Industrial segments, lowering volatility while driving higher margins, free cash flow, and returns for shareholders,” said Mike Reeves, Shawcor’s President and CEO. “We deeply appreciate the many contributions of those employees who work within SPS and firmly believe this pending transaction will position them for future success.”
SPS is a provider of non-destructive, ultrasonic and radiographic pipeline girth weld inspection technology and services to the North American onshore and global offshore pipeline markets.
Shawcor Ltd. is a growth-oriented, global material sciences company serving the Infrastructure, Energy, and Transportation markets. The Company operates through a network of fixed and mobile manufacturing and service facilities. Its three business segments, Composite Systems, Automotive & Industrial and Pipeline & Pipe Services enable responsible renewal and enhancement of critical infrastructure while lowering risk and environmental impact.
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Forward Looking Information
This news release contains forward-looking information within the meaning of applicable securities laws. Words such as “may”, “will”, “should”, “anticipate”, “plan”, “expect”, “believe”, “predict”, “estimate” or similar terminology are used to identify forward-looking information. This forward-looking information is based on assumptions, estimates and analysis made in the light of the Company’s experience and its perception of trends, current conditions and expected developments, as well as other factors that are believed by the Company to be reasonable and relevant in the circumstances. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from those predicted, expressed or implied by the forward-looking information. The forward-looking information is provided as of the date of this news release and the Company does not assume any obligation to update or revise the forward-looking information to reflect new events or circumstances, except as required by law.
Source: Shawcor Ltd.