Business Acquisition: Svanehøj Is Now A Full-Scope Service Provider
The market for gas tankers will develop positively in the coming years. With the acquisition of FORCE Technology Marine Equipment Service, Svanehøj becomes a one-stop shop, which both delivers the pump systems and handles the overall service task. (Image source: Svanehøj Group A/S)
“With this acquisition Svanehøj becomes a one-stop shop, which both delivers the pump systems and handles the overall service task. It removes a number of non-value-added costs because the shipowner can get all their servicing and maintenance from one supplier,” says Morten Christian Larsen, Director, Service & Aftersales at Svanehøj Group.
Attractive service market
Svanehøj’s acquisition of FORCE Technology’s Marine Equipment Service is part of an ambitious growth strategy launched in connection with a change of ownership in the autumn of 2018. At that time, investment company Solix acquired the then Wärtsila Pumps, with the well-known pump brands Svanehøj, Hamworthy Pumps, Eureka and Dolphin, and established the Svanehøj Group with headquarters in Denmark.
The goal for Svanehøj Group is to triple revenue over a 5-year period up to 2023, and part of the growth will be achieved through investments in the service business. Last year, Svanehøj and its sister company Hamworthy Pumps opened a large service centre in Singapore, and with the new acquisition of FORCE Technology’s Service Department Svanehøj has put itself at the forefront of servicing LPG carriers.
“In the coming years, the service market will grow. Svanehøj is already the leading supplier of cargo pumps for LPG carriers. With this acquisition, we are doubling our service business and sending a strong signal to the market that Svanehøj will also be the leading service provider in this segment,” says Søren K. Nielsen, CEO, Svanehøj Group.
Customers want full-scope service
Department Manager Kristian Bertelsen from FORCE Technology Marine Equipment Service is continuing at Svanehøj as Service Manager. He is looking forward to taking advantage of the opportunities that arise by creating one large service department with approx. 50 employees inside the Svanehøj Group:
“Customers are increasingly demanding full-scope service providers, which we can accommodate because going forward we will represent the leading manufacturers in both pumps and compressors for LPG carriers. Svanehøj is strong in pumps but has lacked the skills to service compressors, valves and instrumentation. They are now getting this in the form of 20 service specialists with extensive experience from countless dockings. Together, we’re creating a service operator that will be able to take significant market shares in the coming years,” says Kristian Bertelsen.
With the acquisition of FORCE Technology Marine Equipment Service, Svanehøj Group has 260 employees, of whom almost 150 are working out of Denmark. The rest are employed in Singapore, UK, Japan or China.
Source: Svanehøj Group A/S