MISTRAS Group, Inc.
) announced the acquisition of The NACHER Corporation, a provider
of maintenance and inspection services primarily on offshore
Princeton Junction, New Jersey-based MISTRAS Group expects the
acquisition to be accretive to earnings from day one, augmenting
the revenues by $25 million for the current fiscal year. The
financial details of the deal were kept under wraps.
The NACHER acquisition will enable MISTRAS Group to venture into
the robust offshore market, which includes over 3,800 off-shore
platforms in the Gulf region alone. The company will also benefit
from an access to fabrication facilities that support the rigs and
MISTRAS Group currently caters to mid and/or downstream operations
of its integrated energy customers. The deal will allow the company
to extend its services, and thus, attend the upstream operations of
NACHER currently services under 5% of its potential market. The
acquisition will hence allow MISTRAS Group to capitalize on the
substantial growth prospects in the concerned market.
Moreover, MISTRAS Group will gain vital customer-driven
cross-selling opportunities, including traditional and advanced
non-destructive testing services, remote online asset integrity
monitoring systems and enterprise-based inspection data management
software. At the same time, the company will provide Asset
Integrity Management Services (AIMS) engineering programs. These
solutions are essential to clients for safeguarding the operating
integrity of their offshore assets.
MISTRAS is a leading global provider of technology-enabled
asset-protection solutions required to assess the structural
integrity of critical energy, industrial and public infrastructure.
Its solutions provide customers with asset life extension, enhanced
productivity and profitability, compliance with government safety
and environmental regulations, and superior risk-management
MISTRAS Group currently holds a Zacks Rank #5 (Strong Sell). Some
better-ranked stocks in the industry include Garmin Ltd. (
), Research Frontiers Inc. (
) and Universal Electronics Inc. (
), each holding a Zacks Rank #2 (Buy).
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