“ESCO is a truly scalable platform,” said Harsco Chairman and CEO Salvatore D. Fazzolari. “They operate a lean, efficient organization that shares our passion for value creation and uncompromising integrity. We expect them to be a dynamic catalyst to Harsco’s growth as we leverage our broad-based engineering and equipment resources to augment their market presence. We are delighted to welcome them into our worldwide Harsco team.”
The acquisition is expected to be accretive to Harsco’s earnings in 2010, and will be funded principally from the company’s strong cash flows. Terms of the acquisition were not disclosed.
The Latin American company will be become a key part of the Harsco Infrastructure group’s Americas region operations, immediately expanding the group’s existing Latin America presence in Mexico, Chile and Peru with seven additional countries, including Colombia, Costa Rica, El Salvador, Guatemala, Panama, Trinidad and Tobago, and Puerto Rico, increasing Harsco’s presence to more than 40 countries. The acquisition also gives Harsco Infrastructure a well-established platform for additional expansion throughout the Latin America market, particularly Brazil, where multi-billion dollar investments in public infrastructure, energy and tourism-related construction are anticipated. ESCO combines more than 50 years of scaffolding and formwork experience in the construction services industry with a strong leadership team. The company employs approximately 450 people and recorded 2008 sales of approximately $50 million.
Harsco Infrastructure is a newly created combination of three long-established Harsco companies: Patent in the Americas, and SGB and Hünnebeck in Europe, the Middle East and Asia. Harsco Infrastructure operates in more than 40 countries and has a turnover of $1.6 billion. Together, they offer more than three hundred years of experience and a single, integrated, international source for rental scaffolding, shoring, concrete forming and a range of advanced access solutions for major construction and industrial plant maintenance projects.
Harsco Infrastructure Americas is headquartered in Paramus, N.J., has 41 branches throughout the Americas and has operated since 1909. It services a diversity of construction and maintenance market segments, including commercial, civil, recreational and industrial.
“This acquisition means that we will be able to partner with our customers more than ever, since we have the combination of local presence and market knowledge, backed by global resources,” said Eric Reisner, president of Harsco Infrastructure Americas.
Additional information can be found at
www.harsco-i.com.
