VT Expands Military Support into USA
November 2, 2001
UNITED KINGDOM--In a strategic move to broaden
the market base of its support services business, VT has agreed to
acquire Griffin Services Inc ("Griffin") for a total consideration
of up to $31m from private vendors. $19M will be paid at completion
with a further $12m payable based on future performance. For the
year ended 31 December 2000 the company had turnover of $55m and
operating profit of $2.5m. The transaction is conditional upon
receiving formal USA security approvals.
Griffin, with headquarters in Atlanta, is a leading provider of
base operations and maintenance support services to the US
Department of Defence. The company operates at military sites
across the USA and has an order book of over $300m. Griffin
provides under umbrella contracts a range of services, including
facilities management and operations, logistics, engineering
services and airfield management. Contracts are typically for
periods of five years. Griffin's services fit well with VT's
existing range of support services.
Martin Jay, VT Chief Executive, said: "We are delighted to be
able to announce this strategic development of our military support
activities. We have gained considerable experience of the UK
defence outsourcing market. We now have the opportunity to marry
this experience with the solid track record established by Griffin.
The US defence market is by far the largest in the world and we
believe that opportunities for private sector service providers are
growing. Griffin is well positioned to capitalise on this growth.
We are also pleased that Jim Griffin, the Chairman of Griffin, has
agreed to remain with the business."
- Vosper Thornycroft is a leading defence and civil contractor
focusing on support services, shipbuilding and marine products.
Together, these activities employ 7,500 people in a global network
covering the UK, Europe, United States and the Middle East.
Turnover is in the region of £400 million per year.
- VT's Support Services - encompassing both civil and military
activities - has been growing at a rate of 40% a year and now
accounts for 50 per cent of turnover. Military support is
tri-service and includes training, platform and equipment
maintenance and facilities management, while civil support focuses
on training and education, careers guidance, and specialist
engineering.
- VT is one of the world's leading designers and builders of
naval ships, both for the Royal Navy and overseas customers.
Products include destroyers, frigates, patrol vessels, attack
craft, minehunters and smaller boats for the paramilitary and
commercial market. Building is in steel, aluminium or fibre
reinforced plastic.
- VT marine products is an electronic/electrical systems business
concentrated on the marine, offshore and power industries.
For enquires contact:
Mr George Cameron, Managing Director
Vosper Thornycroft International Services
Tel: 023 9235 4355
Fax: 023 9237 9223
Mobile: 07768 513026
E-mail: georgecameron@vtis.com