28th Aug 2025 18:54
(Alliance News) - Weir Group PLC on Wednesday said it has completed its acquisition of Townley Engineering & Manufacturing Co Inc and Townley Foundry & Machine Co Inc.
The Glasgow-based engineering company agreed the takeover of Florida-based Townley, which manufactures engineered products for minerals processing, in June this year for an enterprise value of GBP111 million.
Townley is a provider of mining wear and abrasion solutions including slurry pumps, dredge pumps and cast foundry products. The company's operations, including a foundry, are based in Ocala which is located in the phosphate mining region of north central Florida.
"We are delighted to welcome Townley to Weir. Townley is a highly complementary addition; completing this acquisition will further strengthen Weir's presence in North America, increasing our footprint in the attractive phosphate market, a key mineral in modern fertilisers," said Weir Chief Executive Officer Jon Stanton.
"Townley's US foundry and manufacturing capabilities will enable Weir to drive further localisation and reduce lead times within our North American markets, aligning strongly with customer needs and completing Minerals' global casting capacity requirements."
Townley will be integrated and reported within the North American region of Weir's Minerals division.
Townley's revenue contribution in Weir's current financial year is expected at around GBP20 million with low double-digit operating profit margins. Weir noted the contribution does not impact its existing full-year guidance.
Weir at the end of July guided for a 2025 operating margin of 20%, a year ahead of schedule and ahead of a 19.7% market consensus. In 2024, Weir reported an operating margin of 18.8%.
The firm also expects free operating cash conversion of between 90% and 100% in 2025, in line with medium-term guidance.
Shares in Weir closed up 1.6% at 2,493.56 in London on Thursday. The stock has risen 28% over the past year.
By Emily Parsons, Alliance News reporter
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