Nearly 30 workers at a collapsed energy service business in the Highlands breathed a sigh of relief yesterday after it was bought out of administration.
The jobs have been saved at Mowat Technical and Design Services (MTDS) following a takeover by Aberdeen-based Enterprise Engineering Services (EES).
EES said it would guarantee the future of the 26 employees at MTDS, taking total group numbers above 200, and also has plans to add to the workforce.
The value of the deal has not been disclosed, but Halkirk-based MTDS has annual turnover of £2million.
MTDS, which provides services including design, fabrication in addition to installation and inspection, went into administration after being sunk by cash-flow problems following heavy investment in research and development.
The company has worked with EES in the past however, and the Aberdeen-based firm said it had acquired the company to extend its offering to the energy sector.
EES managing director Andy Scott said: “EES has an established relationship with MTDS, having subcontracted work to the firm for a number of years.
“However, it has always been our longer-term strategic aim to bring these design services in-house. The acquisition of MTDS provides a streamlined solution for this.
“There is a distinct synergy between our organisations and we share a client base which includes blue-chip clients such as Wood Group, Maersk, Amec, SSE and Babcock.
“EES operates across the UK and internationally and the Caithness base will be particularly advantageous for us in supporting our hydro clients.”
Mr Scott also revealed that EES wanted to add to the MTDS workforce with more designers, fabricators and welders. The business, which was founded in 1997, was sold by administrator RSM Tenon.
Joint administrator Iain Fraser said there had been a lot of interest in the business but he was glad that the agreement with EES had been completed.
He added: “The deal is an excellent fit for both companies and we are particularly pleased to have secured the deal so quickly and that all remaining jobs will be saved.
“I would like to thank all staff and clients for their support, and wish EES every success as they continue to develop their business.”
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