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Divex helps new owner to a 13 per cent rise in profits

A diver with one of Divex's rebreathers
A diver with one of Divex's rebreathers

A “robust” performance by north-east diving and subsea equipment specialist Divex helped James Fisher and Sons to a 13% rise in first half profits, the marine service group said yesterday.

Divex, based in Westhill, near Aberdeen, was snapped up by Fisher early last year in a deal potentially worth £33million.

As well as reporting underlying pre-tax profits of £21.9million for the six months to June 30, up from £19.4million a year earlier, Fisher announced a new contract for Divex.

The subsidiary is to supply equipment for the BP Exploration Shah Deniz II project in the Caspian Sea.

Divex will carry out engineering design, supply, installation and commissioning work for a 984 feet deep, 18-man, twin bell hyperbaric lifeboat saturation diving system.

It will be installed on a 508ft vessel being built in Singapore and due for delivery, after completion work in Baku, Azerbaijan, in 2017.

The value of the contract with Singapore company Keppel Singmarine was undisclosed.

Fisher chief executive Nick Henry said: “This is a complex project, which requires the very latest diving technology.

“We are delighted that Divex has been selected to complete the contract.”

It is the third major order for a saturating diving system Divex has secured since it was acquired by Cumbria-based Fisher

Now part of Fisher’s specialist technical arm, Divex has manufacturing, sales and support operations in Stirling and London, as well as Germany, Dubai, South Africa and Australia.

Fisher’s other oil and gas-related businesses include Aberdeen firms RMS pumptools and RigCool, Inverurie consultant Buchan Technical Services and Oldmeldrum company Fisher Offshore.

The group said the integration of Divex with James Fisher Defence was “progressing according to plan” under their managing director, Mike Howarth.

Chairman Charles Rice hailed a strong first half performance at the Westhill subsidiary, adding: “Our specialist technical businesses are well-placed both for the second half and further forward due to the significant order book underpinning their trading.”

First half revenue across the group came in at £216.1million, up from £200.7million previously.

Acquisitions by Fisher this year include Defence Consulting Europe (DCE), a Swedish firm specialising in “swimmer delivery” vehicles for James Bond-style covert operations.

DCE was snapped up for an initial £3.7million, with the value of the deal expected to rise to as much as £5.6million if long-term profit and turnover targets were met.