|ESCO Announces Acquisition of Renewable Energy Industry Supplier|
ST. LOUIS, May 8, 2017 - ESCO Technologies Inc. (NYSE: ESE) today announced that it has acquired NRG Systems, Inc. (NRG), doing business as Renewable NRG Systems, located in Hinesburg, Vermont. NRG, founded in 1982, is the global market leader in the design and manufacture of decision support tools for the renewable energy industry, primarily wind.
NRG serves electric utilities, wind turbine manufacturers, renewable energy developers, research institutes, and government agencies in more than 150 countries (www.NRGsystems.com).
The business, which will join Doble Engineering as part of ESCO's Utilities Solutions Group (USG) operating segment, has annualized sales of approximately $45 million (with nearly half of its sales coming from international markets) and operating margins in the mid-teens. The terms of the transaction were not disclosed.
NRG's expertise spans both resource assessment products and wind plant optimization equipment such as turbine control sensors, Lidar, and condition based monitoring systems. The products are used during both the pre-development stage of a project and the operational stage when project owners need to optimize the performance of their assets.
The company's products and applications are targeted at the following market segments:
Bryan Sayler, President of Doble, commented, "The addition of NRG offers Doble the opportunity to access the growing renewable energy market, expand our geographic presence, and provide our existing customers with proven tools to optimize their renewable energy generation assets."
Justin Wheating, President of NRG, commented, "Becoming part of ESCO further strengthens our ability to grow through the continued investment in new products and the expansion of our existing technologies into new markets. We are excited about our future and pleased to join a company that shares our core values and demonstrates its strong focus on customers and employees."
Vic Richey, Chairman and Chief Executive Officer, commented, "Adding NRG to our existing utility segment introduces a unique and exciting growth opportunity for ESCO. NRG's capabilities are a great complement to Doble's product and solution portfolio providing an immediate entry point into a large and growing market. Clean, renewable and sustainable energy is a $300 billion-plus per year global industry where approximately 600 gigawatts (GW) of new wind capacity and 700 gigawatts (GW) of solar PV capacity are expected to be added over the next 10 years. NRG is clearly a market leader with an exceptional brand, reputation, and strong management team, and I'm excited to welcome the outstanding and dedicated employees of NRG to our team."
ESCO, headquartered in St. Louis: Manufactures highly-engineered filtration and fluid control products for the aviation, space and process markets worldwide; is the industry leader in RF shielding and EMC test products; provides diagnostic instruments, software and services for the benefit of the electric utility industry and industrial power users; and, produces custom thermoformed packaging, pulp based packaging, and specialty products for medical and commercial markets. Further information regarding ESCO and its subsidiaries is available on the Company's website at www.escotechnologies.com.
SOURCE ESCO Technologies Inc.