The new owners of offshore services provider Acteon Group could help the firm capitalise on its “significant” potential in offshore wind, according to an industry expert.
Private equity investors Buckthorn Partners and One Equity Partners (OEP) announced the acquisition of Acteon Group last week for an undisclosed fee.
Acteon Group includes more than 15 companies operating in the offshore renewables, oil and gas, and decommissioning sectors.
The Norwich-based firm maintains a significant presence in the North East of Scotland, through an operational base in Aberdeen.
The new owners plan to make a “substantial investment” in Acteon, and appointed former Fugro board member and Coretrax chairman Brice Bouffard as its new chief executive officer.
© Supplied by BW IdeolAnd according to one industry expert, the new ownership “opens up the possibility of developing a global British champion in engineering services and equipment, tailored for the burgeoning renewable energy sector”.
Offshore wind supply chain expert and ABL Group global managing director of renewables John MacAskill said under its previous owners KKR, Acteon “faced the challenge of synergising its diverse capabilities to become more than just the sum of its parts”.
But under the new owners, Mr MacAskill said Acteon will benefit from a stated shift towards a more focused strategy in offshore wind.
“The potential is significant for Acteon if it gets it right; to lead in innovation, expand its global footprint, and make significant contributions to the offshore wind industry and UK PLC,” he said.
Acteon journey ‘not without its risks’
However, Mr MacAskill said the journey will not be without risk for the firm given the “nature of secondary buyouts”.
“The new [private equity] owners face the delicate balance of fostering long-term strategic growth while managing the pressure for quick financial returns,” he said.
“I am wondering if the cooling of offshore wind last year also took some of the froth off valuations, so the new owners may feel they have a decent deal here.”
Mr MacAskill said Acteon was valued between £800-£900 million when KKR bought Acteon in 2012, and the success for its transition under its new ownership will largely depend on balancing financial considerations “without compromising on innovation and strategic expansion”.
“The focus on offshore wind not only represents a strategic alignment with global energy transition goals but also a commitment to sustainable development and innovation,” he said.
“Yet, it’s crucial that Acteon and its new owners carefully manage the transition, maintaining a keen eye on the long-term vision amidst the pursuit of financial performance.”
The offshore wind supply chain could provide an estimated £92 billion in potential benefits for the UK economy by 2040, but the sector was beset by challenges in 2023.
Despite the issues facing the offshore wind supply chain, Mr MacAskill is hopeful Acteon can become a “beacon of British engineering prowess on the global stage”.
“We need all the British success stories we can get,” he said.
Buckthorn North Sea investments
Apart from its investment in Acteon, Buckthorn has made several acquisitions across North East energy sector in recent years.
In 2017, the firm jointly acquired Westhill-based subsea equipment firm Ashtead Technology.
A few months later, Buckthorn acquired Aberdeen-based integrated drilling waste and environmental services company TWMA.
A year later, Buckthorn became the majority shareholder in Aberdeen-headquartered oilfield services firm Coretrax.
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