Hunting has announced the acquisition of Flexible Engineered Solutions (FES), a UK-based company that provides fluid transfer solutions to the offshore oil & gas and renewable energy industries, for £50m ($67m) on a cash free/debt free basis. The business will be integrated into Hunting’s Subsea product line. It strengthens Hunting’s offshore/subsea revenue profile and increases product coverage in the deepwater/ultra deepwater segment. FES is currently owned by members of its management team, who will remain with the business for at least 12 months. The price paid is the equivalent of 1.6x 2024 sales and 7.5x EBITDA. The EBITDA multiple drops to about 6.3x based on expected 2025 EBITDA of roughly £8m. The deal is expected to be accretive to Hunting’s EBITDA margins, and to earnings in the first full year of ownership. The deal will be funded out of Hunting’s cash resources and the company will still have $40m of cash post-completion. It is reviewing its capital allocation priorities and will confirm intentions in the coming weeks, which raises the possibility that it may return some excess capital to shareholders, if it is unable to find any further attractive acquisition targets.