From two centres to IPO: offshore wind recruiter Sheffield Green plots training spinoff
Sheffield Green – itself a spinoff of oil and gas recruiter Sheffield Energy – supplies manpower for the renewable energy sector, particularly in offshore wind. After its 2023 Catalist debut, the company looked to diversify and realised that it was spending heavily on third-party training for its workers.
The Global Wind Organisation (GWO), a non-profit industry body, requires industry workers to be certified in basic training courses, with a mandatory refresher every two years.
Having its own training centre meant Sheffield Green's manpower arm could become a client of its training arm, allowing revenue to be recognised within the group, said chief executive officer Bryan Kee.
Running a centre solely for its own staff would not make financial sense, but Kee saw an opportunity. The company's existing manpower clients also needed to train their other workers, and could become paying customers of the training business.
The group teamed up with a UK-based training solutions provider as a technical consultant to launch its first centre in October 2024 in Taiwan, where most of its business is based.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Sign Up
Sign Up
Seeing firsthand the strong margins in training, Kee realised this could be a lucrative new line. Sheffield Green thus set about exploring acquisitions, snapping up a business in Spain this June; it also hired a CEO, who came on board two months ago, to run the training arm.
One-stop training shop
Kee explained that, because GWO-accredited training is standardised, providers have to differentiate on price or delivery.
Sheffield Green's offering, while 'not the cheapest out there', was developed with a consultant that 'sets the standard' in the field, and is aimed at large corporate clients that prioritise quality over cost savings.
In Taiwan, the company currently runs three courses: GWO's Basic Safety Training, Advanced Rescue Training and Basic Technical Training.
Kee is looking to introduce more course types, and is in talks with one of the world's largest turbine manufacturers to add product training to the centre's list of offerings.
Citing a 2024 report by the GWO and Global Wind Energy Council, he pointed out the expected global shortage of skilled technicians to support the onshore and offshore wind sector. The report noted that, by 2028, more than 532,000 new wind technicians will be needed, with 40 per cent of these roles to be filled by new entrants.
'We do not want just to be a supplier to our clients,' said Kee. 'We want to be a long-term partner.'
Over in Spain, Sheffield Green's training centre already offers more than 10 courses; this expertise could be shared with its other centres. Its existing training customers could also be potential clients for Sheffield Green's recruitment business.
The decision to use acquisitions to expand Sheffield Green's training facilities was also financially driven. With an already-operational centre such as the one in Spain, 'straight away, you bring in the revenue', said Kee.
In contrast, it took a year of preparation before the Taiwan centre commenced operations in late January and began to generate revenue in February, though it has now broken even.
In the meantime, startup costs, including for rentals and instructor training, contributed to administrative expenses and finance costs, including in the first half of the 2025 financial year.
This is why the training business involves a mix of greenfield projects and acquisitions. 'We can afford it,' said Kee. In Taiwan, Sheffield Green has a term loan which will be fully repaid by March next year; in Singapore, the company has 'cash sitting in the bank', the chief executive added.
For H1 FY2025 ended Dec 31, 2024, Sheffield Green's revenue slipped marginally by 2.3 per cent to US$9 million, from US$9.2 million in the same period a year earlier.
Kee attributed the dip to the completion of two major projects, as payments for its manpower services are made on a recurring, 30-to-60-day basis. He noted, however, that these clients are expected to continue engaging Sheffield Green's services.
Meanwhile, the cost of services grew US$0.4 million or 6.5 per cent in that half-year, in line with the general increase in labour costs, as well as accounting for one-off tax-related costs for mobilising staff across borders.
While Sheffield Green had at that time borne the cost of its client in Taiwan taking the recruiter's employees across jurisdictions to service other projects, it has since engaged tax consultants to familiarise itself with different regimes and renegotiated contracts to pass on such costs.
For the period, the group recorded a net profit after tax of US$101,344, down from US$474,840 in H1 FY2024.
Adding more facilities
Based on May data, training now contributes up to 10 per cent of the group's revenue, Kee said. 'For a training business, the Ebitda (earnings before interest, taxes, depreciation and amortisation) can go as high as 40 per cent, depending on how you manage the training centre.'
He added that the premises and equipment are a one-time investment. While funds are needed for things such as maintaining equipment, rental and utility bills, instructor costs and support roles, these are not too costly.
Beyond the two training centres in Taiwan and Germany, Sheffield Green is also exploring the acquisition of UK-based training solutions provider Advanced Blade Repair Services, which Kee hopes to be finalised by end-August.
In February this year, it entered into a joint venture (JV) in Malaysia to set up and run a centre in Sarawak. The JV partner has bought the land for the development, and they target to have the centre operational in about 10 months, Kee noted.
Whether Sheffield Green builds from scratch or buys depends on several factors, including market maturity and the availability of acquisition targets.
In the UK, a mature market, there are a hundred big and small players already, Kee pointed out. 'Why should I be number 101?' But in Sarawak, where options are limited, he added that there is 'still room for me to play'.
Deciding where to base the training centres is not solely about where labour is needed, but also takes into account where international companies source their hires. Kee said that Malaysia, the Philippines and India are key labour export markets, thanks to their lower cost.
In addition to the centres already in the works, Sheffield Green is considering acquiring two more from a training solutions provider in the Baltics. 'By the end of this year easily, we will have at least five to six training centres that will be generating revenue,' said Kee.
Once that is all in place, the group plans to explore spinning off the training business and taking it public. 'If you ask me what's the long-term plan, this (training) business will be standalone,' he continued.
While Sheffield Green would remain its biggest shareholder, it would also be able to service its competitors as an independent training partner, said Kee.
The group is also considering two further greenfield projects in South Korea and Saudi Arabia, though these may not happen this year, as it plans to wait until the Malaysian greenfield centre is up and running.
Industry headwinds
While the offshore wind industry is still expected to grow significantly, it has seen recent setbacks.
US President Donald Trump's administration is attempting to stymie support for renewable energy sources, disrupting progress in offshore wind.
While Sheffield Green supplies manpower for several US-based offshore wind projects, it had held off on previously announced plans for a US office when a second Trump term seemed possible. 'There are plenty of other places I can focus (on),' Kee said.
'The capital (leaving the US) will go somewhere else for investment,' he noted, naming Australia as one potential beneficiary. 'So we are looking seriously at Australia as a market itself.'
And although macroeconomic challenges and underdeveloped infrastructure have led to several high-profile offshore wind project cancellations in various countries, Kee believes that there are 'still very good markets'.
In the UK, for example, oil and gas companies 'are all dying' despite there being abundant oil in the North Sea, as the government is 'pushing everything into offshore wind'.
So whether individual countries' governments are supportive of the renewables shift is an important factor that can help the industry weather the storm, he said.
In the close to two years since its listing, Sheffield Green's share price has not been able to reach its initial public offering (IPO) price of S$0.25 per share.
Asked what he would say to potential shareholders, Kee replied: 'Definitely, I think, with the diversification that we have with training… gradually that will contribute to the group, that will push up the profitability of the company.'
The company has remained profitable since going public, and has continued to pay dividends, he added. 'We will still continue to do that.'

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Times
6 hours ago
- Business Times
Trump tariffs leave costly China supply question unanswered
[BEIJING] US President Donald Trump's recent flurry of trade deals have given Asian exporters some clarity on tariffs, but missing are key details on how to avoid punitive rates that target China's supply chains. Trump unveiled tariffs of 20 per cent for Vietnam and 19 per cent for Indonesia and the Philippines, signalling that those are the levels the US will likely settle on for most of South-east Asia, a region that ships US$352 billion worth of goods annually to the US. He's also threatened to rocket rates up to 40 per cent for products deemed to be transshipped, or re-routed, through those countries, a move largely directed at curbing Chinese goods circumventing higher US tariffs. But still unclear to manufacturers is how the US will calculate and apply local-content requirements, key to how it will determine what constitutes transshipped goods. South-east Asian nations are highly reliant on Chinese components and raw materials, and US firms that source from the region would bear the extra tariff damage. That's left companies, investors and economists facing several unanswered questions about Trump's tariffs that appear aimed at squeezing out Chinese content, according to Deborah Elms, head of trade policy at the Hinrich Foundation in Singapore. 'Is that raw materials? All raw materials? Above a certain percentage?' she said. 'How about parts? What about labour or services? What about investment?' BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up In an agreement with Indonesia last week, the White House said the two countries would negotiate 'rules of origin' to ensure a third country would not benefit. The deal with Vietnam earlier this month outlined a higher 40 per cent tariff rate for transshipped goods. And Thai officials, who have yet to secure a deal, detailed that they likely need to boost local content in exports to the US. Missing details The Trump administration is not providing much clarity on the matter right now. US officials are still working out details with trading partners and looking at value-based local content requirements, to ensure exports are more than just assembled imported parts, according to a source familiar with the matter, who did not want to be identified discussing private talks. A senior Trump administration official also said this week that details on the approach to transhipment are expected to be released before Aug 1, the deadline for when higher US tariffs kick in. Some factories are already adjusting their supply chains to comply with rules that will require more locally-made components in production. Frank Deng, an executive at a Shanghai-based furniture exporter with operations in Vietnam, and which gets about 80 per cent of business from the US, said in an interview that his firm is making adjustments as authorities appear to be more strictly enforcing country-of-origin rules. Vietnam has always had specific local content requirements for manufacturers, Deng added, including that a maximum of 30 per cent of the volume of raw materials originates from China, and the value after production in Vietnam must be 40 per cent higher than the imported raw materials. 'We have been struggling to meet all the standards so that we can still stay in the game,' Deng said. 'But I guess that's the only way to survive now.' For most of South-east Asia, reducing the amount of Chinese-made components in manufacturing will require a complete overhaul of their supply chains. Estimates from Eurasia Group show that Chinese components make up about 60 to 70 per cent of exports from South-east Asia – primarily industrial inputs that go into manufacturing assembly. About 15 per cent of the region's exports now head to the US, up about four percentage points from 2018. Local content The US has become increasingly vigilant about China's ability to bypass US trade tariffs and other restrictions through third countries since Trump's first trade war in 2017. Thailand signalled its frustration over the lack of clarity for how much local content is needed in goods exported to the US to avert transhipment rates, but noted it will likely be much higher than a traditional measure of 40 per cent. 'From what we have heard, the required percentage could be significantly higher, perhaps 60 per cent, 70 per cent, or even 80 per cent,' Deputy Prime Minister Pichai Chunhavajira said on Jul 14. 'Emerging countries or new production bases are clearly at a disadvantage,' he said, as their manufacturing capabilities are still at an early stage and must rely on other countries for raw goods. Vietnam, Thailand and Malaysia have all taken steps this year to address Trump's concerns, increasing scrutiny of trade that passes through their ports, including new rule-of-origin policies that centralise processing and imposing harsh penalties on transshippers. Developing nations may still struggle to enforce Trump's rules or comply with the rules if it means going up against China, their largest trading partner and geopolitical partner. 'The reality is it's not enforceable at all,' said Dan Wang, China director at Eurasia Group. 'Chinese companies have all kinds of ways to get around it and those other countries have no incentive to enforce those measures, or capacity to collect the data and determine local content.' BLOOMBERG
Business Times
9 hours ago
- Business Times
HSBC cuts equities team in Germany as CEO Georges Elhedery continues revamp
[LONDON] HSBC Holdings is planning to let go of several staff in its Germany-based equities team as it continues to pare the investment banking division outside Asia and the Middle East. The London-headquartered lender is preparing to cut equities sales and trading jobs in the Dusseldorf office, according to sources familiar with the matter. The move is part of chief executive officer Georges Elhedery's effort to revamp the investment bank, the sources said, asking not to be identified discussing private information. Europe's largest financial institution has already culled dozens of analysts in its investment bank in the last couple of months and it has shut down its US, UK and European equity capital markets and M&A units. 'Equities sales and trading supports the growth of our Prime and Wealth businesses, facilitates equities distribution to the market and supports our global clients investing in equities in both developed markets and emerging markets,' an HSBC spokesperson said in response to questions about the cuts at the German unit. Since taking over as CEO last September, Elhedery has instituted a widespread overhaul of the bank that has involved creating four new divisions under what he has called his 'simplification' plan. He has also combined HSBC's commercial and investment banking units, while making operations in the UK and Hong Kong standalone businesses. BLOOMBERG
Business Times
9 hours ago
- Business Times
HSBC cuts equities team in Germany as CEO Elhedery continues revamp
[LONDON] HSBC Holdings is planning to let go of several staff in its Germany-based equities team as it continues to pare the investment banking division outside Asia and the Middle East. The London-headquartered lender is preparing to cut equities sales and trading jobs in the Dusseldorf office, according to sources familiar with the matter. The move is part of chief executive officer Georges Elhedery's effort to revamp the investment bank, the sources said, asking not to be identified discussing private information. Europe's largest financial institution has already culled dozens of analysts in its investment bank in the last couple of months and it has shut down its US, UK and European equity capital markets and M&A units. 'Equities sales and trading supports the growth of our Prime and Wealth businesses, facilitates equities distribution to the market and supports our global clients investing in equities in both developed markets and emerging markets,' an HSBC spokesperson said in response to questions about the cuts at the German unit. Since taking over as CEO last September, Elhedery has instituted a widespread overhaul of the bank that has involved creating four new divisions under what he has called his 'simplification' plan. He has also combined HSBC's commercial and investment banking units, while making operations in the UK and Hong Kong standalone businesses. BLOOMBERG