International oil & gas sector technical recruiter Air Energi has completed a management buyout, as it seeks to become a half a billion-dollar (£500m) a year turnover company.

The deal, led by LGV Capital, sees the private equity firm acquire a majority interest in the business from previous owner Palatine Private Equity, who have exited after three years.

The MBO is the second major deal involving an international technical and engineering recruiter in the same week. As recruiter.co.uk reported last week, private equity firm Graphite Capital sold international technical recruiter NES Global Talent to private investment vehicle AEA Investors for £234m. 

Manchester-based Air Energi has 35 offices worldwide with regional hubs in Houston, Doha, Singapore and Brisbane. It employs more than 200 permanent staff and over 2,000 technical consultants. Clients include ExxonMobil and BP.

Revenues for 2011 were around £200m, up from £155.7m. Underlying pre-tax profits were about £8m, against £6.1m a year earlier. 

Group chairman Ian Langley said: "We are very pleased to complete this buyout transaction following a positive investment experience for Palatine and all of the shareholders in the business.

"We are looking forward to working with LGV as our new partners in the future.

"Our market continues to offer exciting opportunities for growth, which we will seek to exploit, as well as further enhancing our excellent quality of service to our clients.

“LGV’s equity investment positions Air Energi perfectly for continued future growth.

"Our strategy is, with LGV's support, to become a half a billion-dollar turnover business by the end of 2013 and to double profitability again within the next five years."

Palatine managing director Gary Tipper added: “Air Energi’s growth in the past three years, both organic and acquisitive, leaves it well-positioned for the future.”

In 2009 Zeus Private Equity backed a £30m management buyout of the group, when Palatine paid £10m for a significant minority stake in the business.

Debt facilities of £61.5m for the deal were provided by HSBC. Alan Rigby, HSBC's head of corporate banking in the North-West, said: "The funding in support of the secondary management buyout reflects our confidence in both the Air Energi senior management team and the business' future prospects for sustainable business growth."

Deloitte advised Air Energi, while Gateley solicitors provided legal advice to management and Palatine. Full terms of the deal have not yet been disclosed.