Dickinson Controls sold for £9.3 million

Citation

(2001), "Dickinson Controls sold for £9.3 million", Assembly Automation, Vol. 21 No. 3. https://doi.org/10.1108/aa.2001.03321cab.005

Dickinson Controls sold for £9.3 million

Dickinson Controls sold for £9.3 million

Keywords: Systems integration, Mergers and acquisitions

Dickinson Controls, one of the UK's largest independent systems integrators, serving a wide range of industries, was sold by Brunel Holdings plc to Siemens plc for £9.3 million, subject to Brunel shareholder approval, at an EGM on 2 March.

The Winchester-based company, with regional offices in Manchester, Coventry, Doncaster and Glasgow, was offered for sale by Brunel after the engineering group had embarked on a programme to reduce gearing.

The group appointed Livingstone Guarantee, the UK's largest independent corporate finance boutique, to find a buyer who would provide the best fit for Dickinson's unrivalled expertise in the manufacture and installation of factory floor automation and control systems.

Siemens, with their cradle-to-the-grave support for the process industries through Siemens Industrial Solutions and Services was deemed to be the preferred purchaser, despite strong competition from UK companies seeking to capitalise on the Dickinson reputation, and US operations which saw Dickinson as an entree into UK – and European – markets.

"Siemens were always the front-runners because of the perfect fit Dickinson offered", said Gordon Blair, the partner who jointly negotiated the disposal with John Clifford.

John Clifford stated: "While other strong offers were received from UK and US companies, an acquisition by Siemens was the correct course for all concerned."

Tom Temple, currently managing director of Dickinson Legg, Brunel's tobacco processing equipment manufacturing company, becomes managing director of the Siemens subsidiary, which will continue to trade under the DCS name.

He also assumes the role of non-executive chairman at Dickinson Legg, with whom Siemens have entered into a five-year trading agreement to ensure that Dickinson Controls will continue to add value to Brunel's most important business unit while, for Siemens, the close relationship with Dickinson Controls' most important customer will be maintained.

Brunel's chief executive, Ron Petersen, comments: "This is an important development for Brunel and Siemens. For us it represents a major step towards the fulfilment of the board's commitment to significantly reducing gearing; for Siemens it strengthens their position in factory automation solutions and further improves their broad portfolio."

For further information please contact Gordon Blair/John Clifford at Livingstone Guarantee plc, 15 Adam Street, London WC2N 6RJ. Tel: +44 (0)20 7484 4700; Fax: +44 (0)20 7839 6912.