News - 02.04.2014

Bandak Group expands its business in Asia

(2 April 2014) Bandak Group expands its business in Asia through the acquisition of Multi Fibre. Herkules' newly established office in Singapore proves its position.

Multi Fibre Sdn. Bhd. is based in Johor Bahru, Malaysia, and is an industry leader in the supply of fabricated subsea structures to the Oil & Gas industry. The acquired company will be merged with Bandak Group’s Malaysian entity Bandak Malaysia Sdn. Bhd.

The acquisition brings together the complimentary manufacturing capabilities and capacities of both companies and will be further enhanced from September 2014 as the joint operations will be merged and operated from a new expanded Multi Fibre facility in Nusajaya, Johor Bahru. The new premises will be 7,500 sq. metres in total, and provide the capability to deliver stand-alone and integrated products including material sourcing, fabrication, machining, welding, clad welding, testing, coating and assembly into the growing APAC Oil & Gas industry.

Multi-Fibre was founded in 1976, and has been owned by the founding Loh family. Since inception the company has established a strong presence in the field of mechanical engineering, with experience in metal fabrication and general engineering. Over the last years the company has streamlined its focus on deliveries to the oil and gas industry. The company has fabricated and delivered subsea structures for several years and has developed a strong competence in this business.

After the acquisition of Multi Fibre, Bandak Group will have approximately 550 employees and expects to have sales exceeding USD 150 million in 2014.

Herkules, has with local knowledge and competence through its office in Singapore, assisted Bandak in the due diligence and acquisition process. Herkules Singapore was established late 2013, as Herkules saw that Asia was becoming strategically important for several of Herkules’ portfolio companies. Senior Advisor for Herkules in Singapore, Erik Borgen, has been part of the acquisition team, giving valuable local input to the investment thesis and risk assessment.

“Asia has strong growth prospects, hence the region is important for Norwegian companies, in particular companies within the oil and gas industry. Herkules believes it is important to offer competence and support to our companies related to the challenges they meet in Asia. Through the acquisition of Multi Fibre, our office in Singapore proves its position and confirms the strategy behind establishing ourselves in the Asia-Pacific region”, says Gert W. Munthe, Managing Partner at Herkules.

For further information, please contact:

CEO at Bandak Group AS, Per Gunnar Borhaug, (+47) 9073 9441

Senior Advisor at Herkules, Singapore, Erik Borgen, (+65) 9751 5586

Partner at Herkules, Kristian Eikre, (+47) 9772 4067


Bandak Group supplies advanced mechanical-based solutions, products and services from its manufacturing facilities in Norway and Malaysia to a customer base of world leaders within Offshore Oil & Gas, Marine and Defence & Space. Key elements in deliveries are turning, milling, grinding, certified welding, cladding, surface treatment and thermal coating. The group also provides capacity and capability related to drilling equipment such as drillpipe, casing, tubing and downhole products. The production is carried out by a competent and skilled workforce in broadly composed and effective machining factories. In addition to customer-specific production, assembly and testing are also key parts of deliveries. The foundation for the success in the market is a high level of engineering expertise and in-depth experience and knowledge in executing demanding multidiscipline projects.

Bandak Malaysia Sdn. Bhd. located in Kuala Lumpur, Malaysia is a 100% owned subsidiary of Bandak Group established in 2011 to provide local machining, welding, coating and assembly of products to the APAC Oil & Gas industry. Bandak Malaysia Sdn. Bhd. will be merged with Multi Fibre Sdn. Bhd. More information to be found at:

Herkules is among Norway’s leading private equity funds, with an aggregated capital base of more than USD 2 billion in committed capital from Norwegian and international investors. The funds invest in established companies with strong growth potential, either for organic growth or growth through acquisitions, and focuses on companies based in the Nordic countries. Herkules acquires majority ownership positions in the companies and has extensive experience in partnering with existing shareholders. Herkules has respect for the companies’ history, and takes an industrial approach, focusing on long-term growth. Herkules has offices in Oslo and Singapore. More information to be found at: