Speakers from Touchstone Exploration, Shanta Gold, Savannah Resources and Kavango Resources feature in our Natural Resources webinar on May 25th. Please register here.

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksWeir Group Share News (WEIR)

Share Price Information for Weir Group (WEIR)

London Stock Exchange
Share Price is delayed by 15 minutes
Get Live Data
Share Price: 1,893.50
Bid: 1,900.00
Ask: 1,901.00
Change: 19.00 (1.01%)
Spread: 1.00 (0.05%)
Open: 1,871.00
High: 1,928.50
Low: 1,871.00
Yest. Close: 1,874.50
WEIR Live PriceLast checked at -

Watchlists are a member only feature

Login to your account

RNS Alerts are a premium feature

Login to your account

myTerminal is a premium feature

Login to your account

Don't have an account? Click here to register.

TOP NEWS: Weir To Sell Oil & Gas Unit For USD405 Million

Mon, 5th Oct 2020 08:35

(Alliance News) - Weir Group PLC said Monday it has agreed to sell its entire Oil & Gas division to US-based engineering company Caterpillar Inc for a USD405 million enterprise value.

The Glasgow-headquartered engineering firm was the best performer in the FTSE 250 on Monday Morning, up 15% at 1,476.00 pence.

Weir said the decision follows its February announcement that it would seek to maximise value from Oil & Gas as part of its strategic transformation into a premium mining technology pure play.

This transformation will focus on "attractive markets" that are underpinned by worldwide demographic trends, net technology adoption, and the transition to low carbon. Weir intends to build on leading position within the mining supply chain from extraction to concentration.

Additionally, Weir's stronger balance sheet will enhance its flexibility and allow for investment in "future growth opportunities".

Net proceeds of the sale of Weir Oil & Gas will be used to reduce the company's leverage, with pro forma net debt to earnings before interest, tax, deprecation and amortisation on a pro forma basis of 1.9 times as of June 30.

Furthermore, transaction facilities representing a USD70 million cash tax benefit for Weir, which will be realised over the medium term.

The sale is expected to complete by 2020 end.

In 2019, the Oil & Gas division contributed a GBP36.4 million operating profit before exceptional items and intangibles amortisation and for the six months ended June 30 contributed a GP4.4 million operating loss. As at June 30, the Oil & Gas division has gross assets of GBP747.4 million and GBP542.9 million of net assets.

Weir Chief Executive Jon Stanton said: "We are pleased to have reached this agreement that delivers a great home for the Oil & Gas division and maximises value for our stakeholders. Alongside the previous sale of the Flow Control division and the acquisition of ESCO, it is a major milestone in transforming the group into a focused, premium mining technology business.

"It means Weir is ideally positioned to benefit from long-term structural demographic trends and climate change actions which will increase demand for essential metals that must also be produced more sustainably and efficiently. This will require the innovative engineering and close customer partnerships that define Weir, and it is why we are so excited about the future."

By Anna Farley; annafarley@alliancenews.com

Copyright 2020 Alliance News Limited. All Rights Reserved.

More News

IN BRIEF: Moody's Investors Service assigns Baa3 rating to Weir notes

IN BRIEF: Moody's Investors Service assigns Baa3 rating to Weir notes

10 May 21 20:15

Weir prices offering of USD800 million in sustainability-linked notes

Weir prices offering of USD800 million in sustainability-linked notes

7 May 21 11:00

BROKER RATINGS: Johnson Matthey and Meggitt receive upgrades

BROKER RATINGS: Johnson Matthey and Meggitt receive upgrades

30 Apr 21 09:43

BROKER RATINGS: UBS raises Pearson and Barclays downgrades Dixons

BROKER RATINGS: UBS raises Pearson and Barclays downgrades Dixons

29 Apr 21 09:41

Weir reports order growth in first quarter as markets strengthen

Weir reports order growth in first quarter as markets strengthen

29 Apr 21 08:58

Weir Group Q1 revenues 'stable'

(Sharecast News) - Mining technology firm Weir Group said on Thursday that first-quarter revenues were stable, leading the company to note that full-year profit growth looked set to be in line with market expectations.

29 Apr 21 08:43

UK earnings, trading statements calendar - next 7 days

UK earnings, trading statements calendar - next 7 days

22 Apr 21 16:10

UK shareholder meetings calendar - next 7 days

UK shareholder meetings calendar - next 7 days

22 Apr 21 16:09

LONDON MARKET MIDDAY: Stocks mixed with US inflation, earnings to come

LONDON MARKET MIDDAY: Stocks mixed with US inflation, earnings to come

13 Apr 21 12:06

BROKER RATINGS: JPMorgan upgrades Babcock to overweight from neutral

BROKER RATINGS: JPMorgan upgrades Babcock to overweight from neutral

13 Apr 21 09:29

BROKER RATINGS: Liberum upgrades Ferrexpo to Buy from Hold

BROKER RATINGS: Liberum upgrades Ferrexpo to Buy from Hold

10 Mar 21 09:35

UPDATE 1-German firm Friedrich Vorwerk plans IPO to expand in hydrogen market

(Adds valuation)FRANKFURT, March 8 (Reuters) - German energy infrastructure firm Friedrich Vorwerk plans an initial public offering (IPO) on the Frankfurt stock exchange in the first quarter to accelerate growth in the hydrogen market, its biggest...

8 Mar 21 10:43

LONDON MARKET CLOSE: Bond fears push Europe lower before Powell speech

LONDON MARKET CLOSE: Bond fears push Europe lower before Powell speech

4 Mar 21 16:52

Thursday broker round-up

(Sharecast News) - Weir: Deutsche Bank downgrades to hold with a target price of 2,000p.

4 Mar 21 13:25

Deutsche cuts Weir to 'hold' after results disappoint

(Sharecast News) - Deutsche Bank downgraded Weir Group to 'hold' after disappointing orders and no dividend announced at its recent results.

4 Mar 21 10:19

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.