Exor and 7-Industries Further Strengthen Welltec Support
The two European holding companies purchase the remaining shares from founder Jørgen Hallundbæk. The global technology company based in Allerød (Copenhagen) looks toward its next stage of growth, including the development of geothermal and carbon capture & storage business.
Welltec (the “Company”) announces that Exor and 7-Industries have completed the purchase of the remaining shares of Welltec from its founder Jørgen Hallundbæk, raising their participation in the global technology company to 95%. Welltec was founded in 1994 and is today a global leader in oil and gas well robotic intervention and maintenance as well as in metal expandable isolation and integrity packers. Within these two categories Welltec has global market shares of 55% and 40% respectively, with both technology portfolios significantly reducing environmental risks and footprint. Over the last three years, the Company has also entered the geothermal and the emerging carbon capture & storage markets and is aiming to accelerate its growth in these areas.
In recent years, Welltec has made gradual changes to its organization and ownership. With this latest step, the Company looks toward its next stage of growth leveraging on its high tech solutions for the energy industry. Peter Hansen will continue as CEO and the Company, based in Allerød, north of Copenhagen, will remain true to the Nordic values and culture that the Company was built on.
“We are global leaders in our service and products categories and are determined to strengthen our positions further. With this strong support from our dedicated owners, we can now accelerate our development within carbon capture & storage and geothermal as we continue to be a global leader in our niche segments within oil and gas. I believe this will create a solid platform for the future,” says Peter Hansen.
Today, Welltec is a global company with 815 employees across 38 offices and operating bases in 22 countries. Welltec revenues have grown rapidly since 2017 reaching $257m in 2019 with an EBITDA of $101m (39%) with healthy operating cash flows. In 2020, a very challenging year for the entire industry, the Company saw a revenue decline of less than 15%, and the Company managed to maintain operating margins close to 40% ($88m) which places the company among the best in the industry. In Spring 2021, the Company is benefitting from increased activity in its markets.
The two European holding companies Exor and 7-Industries make long-term investments in companies with strong technology and industrial potential. Exor and 7-Industries jointly comment on the significantly increased investment in Welltec:
“Following Exor and 7-Industries’ initial investment in Welltec six years ago, we are now significantly increasing our investment and we are excited to bring Welltec to the forefront of its industry supporting also its development in new, safer and cleaner businesses.”
