SAR AS has been acquired for an undisclosed sum by Stirling Capital Partners from AR Incoronato AS and Westco AS.
It is the sixth acquisition from Stirling Square's second fund, its second in the oil and gas sector and its first in Norway. AR Incoronato AS and Westco AS had developed SAR AR over the last 15 years.
SAR services the oil and gas industry through the handling and treatment of oil contaminated drill waste, hazardous and industrial waste from offshore oil installations and tank cleaning through its nine bases strategically located along the Norwegian coastline.
As a requirement for operating on the Norwegian Continental Shelf, North Sea standards prevail, the highest standards globally within the oil and gas sector with respect to environmental treatment, operational protocol and safety regulations.
Using its proprietary processes and industry-leading reputation, SAR is now developing its operations internationally as oil majors seek to operate at North Sea standards in other offshore oil and gas locations. SAR has secured contracts in India and Jordan and the further development of its international operations will be a focus for the management team going forward.
SAR is headquartered in Tananger, Norway, and employs approximately 250 people at its nine bases along the Norwegian coastline, making it the only waste treatment company in Norway able to service all offshore locations active on the Norwegian Continental Shelf. Each of its bases represents an onshore point of entry for all types of waste from offshore oil and gas installations and SAR's business comprises the handling, sorting and treatment of the key waste streams and related services, such as tank cleaning.
The company is well invested, with modern vessels for the transportation and storage of the waste and dedicated specialised facilities and processes for the treatment of waste.
Stirling Square plans to grow SAR through further penetration of the Norwegian market as the offshore oil and gas sector grows and through geographical expansion into new markets, which are moving towards best-in-class North Sea standards for the treatment of wastes.
Bolaji Odunsi, Partner at Stirling Square, said: "Following our first investment into the offshore oil and gas sector in 2011, we are delighted to have secured a second investment in this growth sector and it represents our first investment in Norway.
"SAR is a perfect fit with Stirling Square's investment strategy, which focuses on acquiring companies with a leading position in their national market and developing their cross border activities, delivering international market consolidation and the potential for transformational change and value creation. We are delighted to have completed the acquisition and look forward to supporting the existing management team around CEO Per Kristian Nagell and Deputy CEO Oyvind Jensen. "
Per Kristian Nagell, CEO of SAR, added: "Management and staff of SAR are excited about working with Stirling Square, who understand the local market here in Norway and have an enthusiasm for development of our business internationally.
"With their knowledge of and relationships in the oil and gas sector we are well positioned to deliver best-in-class waste handling services to the oil majors that we service across multiple offshore and onshore oil and gas locations globally. We are very much looking forward to further developing the company together with our new shareholders."
Trygve Jacobsen, owner of Westco AS, said: "Having developed SAR from its origin as a small and local waste logistics company to becoming the leading provider of total waste management solutions to the offshore oil & gas industry in Norway has been an exciting journey."
Arne Incoronato, owner of AR Incoronato AS, added: "In order to take the company to the next level we felt a different skill set was needed. We are therefore pleased that SAR now has new owners with the necessary experience and resources to accelerate the company's international ambitions."