Former Dresser-Rand CEO heading new company

Private equity firm Bluewater and a former CEO of Dresser-Rand have launched Fox Innovation & Technologies (FIT), a platform to service the energy and industrial compressor and rotating equipment market.

Vincent Volpe served as the CEO of Dresser-Rand for the last 15 years of his 34-year tenure. FIT will be led by Volpe, as CEO, who is assembling a team of experts in the compressor and rotating equipment fields. FIT is backed, and majority owned, by Bluewater.

Vincent Volpe

FIT will target the after-sales segment of the compressor and other rotating equipment markets, helping to improve, modify and service existing compressors and turbines that can result in immediate improvements in efficiency and reduction in operating costs.

FIT said it has developed a proprietary technology and design approach to produce impellers and the associated gas flow path that focuses on optimizing and maximizing the efficiency and operating range of in-service equipment and mitigating performance degradation due to common variances in operating conditions or new processes introduced over the life of a gas field. FIT’s concept is to produce a “cartridge” that can fit in any OEM’s existing compressor casing with a simple bespoke design process using internal detailed criteria sources from end-user clients’ files.

FIT has the capabilities to do its own design work and manufacture the cartridge to be inserted in the existing casing when the equipment is made available during planned turnaround and maintenance periods. The efficiency, cycle time and OEM-agnostic ability to work on any of its target customers’ equipment, supported by the local ongoing operational support, will make this attractive to members of clients’ C-Suites, focused on sustainability and the environment, as well as operations leaders, focused on reliable production at the lowest possible operating cost.

The addressable market, which includes gas compressors, gas turbines and steam turbines, is worth approximately $20 billion.

Acquisition

FIT’s first major act is the acquisition of Texas-based Revak Keene Turbomachinery (Revak), which will serve as a catalyst for this new platform. Founded in 1981, Revak specializes in remanufacturing, upgrading, and re- rating steam turbines, pumps, gears, compressors, and complete steam turbine systems for industrial and energy sector customers.

Revak’s 350,000 sq. ft. headquarters in Houston provides a strategic presence and manufacturing base from which FIT can grow by leveraging its engineering workshop expertise and world-class field service capabilities, the company said.

FIT says that the acquisition of Revak is the first deal in what it expects to be a busy 12 months in terms of acquisitions. The company’s leadership team and Bluewater have already identified potential acquisition targets as it looks to build an international-scale platform to take on the rotating equipment and compressor market.

“We are delighted to have the chance to work again with Vincent Volpe and his team,” said Tom Sikorski, Founding Partner at Bluewater, previously worked closely with Vincent Volpe having invested in Dresser-Rand. “Our experience with them at Dresser-Rand was fantastic and the potential here is even better. There is a huge opportunity in a large addressable market to start a focused compressor efficiency strategy, and this team is the best in class in that field.”

Volpe said the REVAK acquisition is of clear strategic importance, and he welcomed CEO Paul DeWeese and the entire REVAK team.

Marcello Stroppa, Director at Bluewater, added: “We are very excited to work with Vincent and team to build this new platform that will disrupt the rotating equipment services market. We have closed on the first strategic acquisition and have a pipeline of other highly actionable opportunities that will accelerate FIT’s growth. We look forward to the journey ahead and helping FIT become a global leader in its field.”