Severfield-Rowen finds Atlas buy-out a success

Severfield-Rowen, the structural steel group, is delighted with its 5m acquisition of former competitor Atlas Ward.

Announcing Severfield's latest interim results, chairman Peter Levine said: "The purchase is proving very successful."
The business is currently contributing ahead of projections.

Six months ago, Severfield paid 1.4m in cash for Atlas and took on its 3.6m of debts.

Severfield's financial results for the six months to 30 June 2005, show a record pre-tax profit of 7.3m. Turnover jumped to 110m.  The group now runs four operations: Severfield-Reeve, Watson Steel, Rowen, and Atlas Ward.

The cash balance increased to more than 15m, with nil gearing (no debts). Cash inflow during the first half of 2005 ran to
13m. The current orderbook stands at 160m, of which only 10m represents work at Heathrow T5.