GD Energy Services acquires 60% of the nuclear-industrial division of the French Company Erba

• GDES Erba has been awarded a 40-million-euro project in association with Onet Technologies.
• Erba Nuclear-Industrial division has revenues of 3 million euros a year.

GD Energy Services (GDES), Spanish group with international expertise in surface treatment, industrial maintenance, decommissioning of nuclear and radioactive facilities, construction and maintenance of power grids, warehouse logistic management, services to renewable energy and emergencies, has signed a strategic alliance with the French company Erba, specialised in industrial painting and anticorrosion services, that includes the acquisition of 60% of its nuclear and industrial division. With this investment, GD Energy Services pretends “to enlarge our business in France, by having a platform that allows growth in surface treatment services with stable projects and multiannual contracts” declares GDES’ CEO, Hector Dominguis.

GDES has been working in the French market for some years through its company GDES France, that until now has focused on chemical cleaning, surface treatment and other technological projects for the nuclear industry. But its objective is to position itself as a reference in painting and surface treatment. For this reason, after a thorough analysis of the French market, they decided to join forces with Erba, a company with almost a century of experience. This group has three divisions (construction, food distribution industry and nuclear-industrial) with revenues of around 15 million euros a year. The nuclear-industrial division is 20% of Erba’s total business, with revenues of 3 million euros per year and 20 employees, that will now become the foundation for the new company GDES Erba.

“Extrados”, as first project

The first project obtained by the new company GDES Erba in association with Onet Technologies, one of the French leaders in the nuclear industry, is a 40-million-euro project, with a duration of four years.

For this initial project, named “Extrados”, GDES will be responsible for the application of a carbon fibre coating to guarantee the tightness of enclosures subject to pressure in various nuclear power plants in France.

For this project, GDES has developed and qualified a seven-layer coating that has met all requirements of the French nuclear industry.

Revenue forecast

The acquisition of a majority stake in Erba’s nuclear and industrial division adds a recurrent revenue of 3 million euros, that will immediately be increased with the award of the first project to the new society. According to Dominguis “we expect revenues of 3 million euros during the second semester of 2016; 9,5 million euros in 2017; 11,5 million euros in 2018 and 9,9 million euros in 2019”, without taking into consideration additional project to with GDES Erba will aspire to achieve from now on.

Other Businesses in France

Besides the surface treatment business, GDES, specialised also in emergency services, is increasing its presence in the French aeronautical industry, through its participated company Falck France.

Through an asset deal, Falck France has acquired the contracts for the fire fighting service and assistance to passengers with reduced mobility in various first class airports in France, “we have incorporated to our project portfolio the fire brigade service for Bordeaux airport, the fire brigade service for Nice airport and the service to assist passengers with reduced mobility in Biarritz airport, allowing us to consolidate a business that we started 3 years ago”, explains the CEO of GD Energy Services and President of Falck France.

With this acquisition Falck France will count with over 130 employees and revenues close to 10 million €.