Dublin-based Lynskey Engineering has been acquired by German facility management and services multinational Dussmann Group for an undisclosed sum.

The deal has been notified to the Competition and Consumer Protection Commission (CCPC) and is expected to be cleared next quarter.

Lynskey employs around 120 people and generates annual revenues of approximately €60 million. Following the completion of the deal, it will be integrated into Dussmann's technical solutions division.

The latest accounts for the firm, which is wholly owned by managing director Sean McElligott, show a group operating profit of €4.4m in 2023, up from €3.2m the previous year, bringing retained earnings to €35.5m.

Lynskey has completed specialist technical projects for blue chip clients in the data centre, pharmaceutical, retail, commercial and energy sectors.

The group provides specialist mechanical design, engineering, installation and commissioning services for its clients across Europe.

Lynskey also offers technical maintenance services for clients in Ireland, and operates in Germany through its subsidiary LES GmBH.

“The acquisition of Lynskey directly contributes to our ‘Road to 2030’ strategy," said Wolf-Dieter Adlhoch, chief executive of the Dussmann Group.

"An important goal here is to establish and expand our range of engineering services for clients with complex technical demands and mission critical systems in the industrial, energy and data centre sectors."

Dussmann established its technical services group in 2019 and previously strengthened it will the purchase of STS Group, another Dublin-based specialist electrical engineering company.

The Lynskey acquisition is expected to add to specialist mechanical services to Dussmann's in-house capabilities.

The technical services division also handles design, technical planning, installation, commissioning, technical maintenance, repair and operations across Dussmann's facilities and buildings projects.

"We already have worked with Lynskey on delivery of several successful projects in the data centre sector. Lynskey's portfolio of mechanical services seamlessly complements STS's electrical engineering services," said Stephan Possekel, managing director at Dussmann Technical Solutions.

Oliver Finckh, chief technical officer and managing director at Dussmann Technical Solutions, added: “The acquisition of Lynskey will enable us to offer both main trades – mechanical as well as electrical services on complex large-scale projects, thus being a single source provider of mechanical, electrical, and plumbing services.” 

Dussmann expects that the integration of Lynskey will enable the group to offer a more comprehensive service portfolio, particularly to clients in the pharmaceutical sector.

Existing Lynskey employees will be unaffected by the deal, and the senior management team will remain in their roles post-acquisition.

Dussmann group saw sales increase 8.4 per cent to €3.3 billion last year with an EBITDA margin of 4.6 per cent. Technical Services accounted for sales of €441m, up 17.6 per cent from €375m in 2022. The group employs around 70,000 people.

“This provides an excellent opportunity for both our clients and employees," said McElligott.

"Our clients will continue to enjoy the same level of superior service provided by our team, delivering complex technical mechanical projects within time and on budget, and will post-acquisition also benefit from the increased scale and service capability we can offer as part of a ca. €3.3 bn turnover group.

"Similarly, our employees will find increased opportunities provided by the ambition and support of Dussmann to grow our business further. Myself and the entire senior management team are very excited to become part of the Dussmann Group and are looking forward to our new future together.”

Pgoro: (l-r) Stephen Possekel; Sean McElligott, Catherine von Fürstenberg-Dussmann, chair of the board of trustees of Dussmann Group; and Oliver Finckh. (Pic: Supplied)