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The Shaw Group
The Shaw Group
from Wikipedia

The Shaw Group is a pipe and steel fabrication firm specializing in induction bending. Headquartered in Houston, Texas, Shaw employs approximately 1,400 people across its offices and operations in North America and the Middle East.

Key Information

History

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Shaw was founded in 1986 by J.M. Bernhard Jr., Oscar J.LaFleur, and A.W. Angelo as a fabrication shop. The company was originally known as Shaw Industries Inc. Shaw grew by acquiring stock of Alloy Piping Products, Fronek A/DE, Inc, Naptech, Inc., Pipe Shields Inc., United Crafts, Inc., Merit Industrial Constructors, Inc., Cojafex B.V., Prospect Industries plc, joined with Entergy Corporation to create EntergyShaw L.L.C., Stone & Webster Inc., IT Corporation, Envirogen, Inc., MWR, Inc., Badger Technologies from Washington Group International, and Energy Delivery Services from Duke Energy Global Markets, Inc.

In 2006 the company acquired a 20% interest in the Westinghouse Electric Company, the rest majority owned by Toshiba. In September 2011, Toshiba was reported to be in talks to acquire the Shaw stake.[1] Toshiba is paying $1.6 billion for the 20% stake under a Shaw-owned option, Shaw CEO J.M. Bernhard Jr. said. Shaw said it was the 50% rise in the yen on its yen-denominated debt over five years which led it to exercise its sale option. The option was part of the 2006 purchase terms.[2] The transaction was completed in January 2013, and brought Toshiba's stake in Westinghouse to 87%.[3]

In July 2012 CB&I agreed to buy Shaw for approximately $3 billion.[4] In December 2012 shareholders from both companies approved the transaction and it officially closed in February 2013.[5][6][7] In 2018 CB&I was acquired by McDermott International for approximately $6 billion.[8]

In January 2020 McDermott filed for Chapter 11.[9] On June 1, 2020 it was announced that McDermott has sold the former Shaw Group's pipe fabrication assets to Shaw Acquisitions Holdings LLC for an unknown price. The assets include pipe fabrication, piping, structural steel fabrication, mechanical assembly, and modularization subsidiaries.[10] In this transaction, Shaw Acquisitions Holdings LLC received seven facilities located in Walker and Lake Charles, Louisiana; El Dorado, Arkansas; Laurens, South Carolina; Clearfield, Utah; Abu Dhabi, UAE; and Askar, Bahrain. "As part of the deal, Shaw also acquired rights to The Shaw Group trademark" [11]

The Shaw Group has moved its headquarters from Baton Rouge, Louisiana to Houston, Texas. The CEO is Mike Childers, COO is Sachin Singh, and CFO is Andrew Cannon.[12]

See also

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References

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Revisions and contributorsEdit on WikipediaRead on Wikipedia
from Grokipedia
The Shaw Group Inc. was an American multinational (EPC) company that provided comprehensive services including pipe fabrication, maintenance, technology solutions, and for industries such as power generation, , refining, and public infrastructure. Founded in 1987 in , by James M. Bernhard Jr. (1947–2025) through the acquisition of the Benjamin F. Shaw Company, it specialized in vertically integrated industrial piping systems and grew rapidly into a firm with over 20,000 employees and operations across , , the , and by the early 2000s. The company was publicly traded on the under the ticker SHAW until it was acquired by CB&I Incorporated for approximately $3 billion in a cash-and-stock deal in 2013 amid financial challenges. From its inception, The Shaw Group expanded aggressively through strategic acquisitions to build its capabilities in and . Key milestones included the 1994 purchase of Fronek Company for industrial services, the 1996 acquisitions of Alloy Piping Products and Pipe Shields Inc. to enhance piping expertise, and the landmark 2000 acquisition of for about $163 million, which bolstered its EPC services in power and process industries. By 2001, annual revenues had surged to $1.5 billion, supported by major contracts such as those with for petrochemical facilities and PG&E National Energy Group for power projects. The firm also formed joint ventures, like the 2000 Entergy-Shaw partnership for nuclear services, and earned recognition for innovations in modular and environmental solutions. The Shaw Group's operations emphasized safety, efficiency, and global reach, serving clients in over 30 countries and contributing to high-profile projects including plants, refineries, and remediation efforts. Despite its growth, the company faced setbacks from the and project delays, leading to the 2013 acquisition that integrated its assets into CB&I's portfolio, enhancing the latter's energy infrastructure expertise. Post-acquisition, Shaw's legacy continued through CB&I's power and industrial segments until CB&I's own merger with in 2019. Following McDermott's Chapter 11 restructuring in 2020, Shaw's pipe fabrication assets were sold to a new company in , , which continues to operate under the Shaw Group name.

History

Founding and early years

The Shaw Group was founded in 1987 by James M. Bernhard Jr. as a pipe and steel fabrication shop in . The initial operations centered on a small fabrication facility that catered to the local energy sector, emphasizing advanced techniques and modular methods to meet industrial demands efficiently. Headquartered in Baton Rouge from its inception, the company quickly established itself as a key player in pipe fabrication. In 1987, it was formally incorporated as The Shaw Group Inc. under Louisiana law, building on the foundational work of acquiring and modernizing assets like the Benjamin F. Shaw Company to enhance its capabilities. Early growth was marked by steady revenue increases, reaching $29.3 million by 1988 and expanding significantly through the late 1980s. By the early , The Shaw Group had solidified its position in the industry, achieving revenues of $29.3 million in 1988 and reaching $120.7 million by 1993. This period of foundational expansion culminated in the company's on in 1993, transitioning it into a publicly traded entity and enabling further scaling of operations.

Growth and acquisitions

The Shaw Group's expansion accelerated in the mid- through targeted acquisitions that bolstered its core fabrication and engineering capabilities, building on its early roots in pipe fabrication. In April 1994, the company acquired Fronek Company, Inc., a provider of engineered pipe supports and systems, which enhanced Shaw's design and manufacturing expertise for industrial applications. This move allowed Shaw to integrate specialized support solutions into its growing portfolio of piping services. By 2000, Shaw had diversified into (EPC) services amid rising demand in the power sector. The company acquired the assets of , Inc., in July 2000 for $163 million following the engineering firm's bankruptcy, gaining extensive expertise in power plant design and global project execution. Later that year, in September, Shaw formed a with Corporation to develop standardized gas-fired power plants, marking a strategic entry into large-scale infrastructure projects. These acquisitions transformed Shaw from a primarily fabrication-focused entity into a full-service EPC provider. Environmental services became a key diversification area with the acquisition of The IT Group, Inc., in January 2002 (approved in April), for $105 million in cash and stock plus the assumption of $55 million in debt; this added remediation and capabilities to address growing regulatory needs in industrial cleanup. Concurrently, Shaw pursued international growth to tap global energy markets. In 1994, it entered a in for pipe fabrication, enabling tariff-free access to countries, followed by full ownership of a Venezuelan facility in 1995 to leverage cost advantages in . These ventures supported expansion into power generation projects worldwide, including modular for , gas, and facilities. A pivotal step in nuclear services came in October 2006, when Shaw's subsidiary, Nuclear Energy Holdings LLC, acquired a 20% stake in Westinghouse Electric Company for $1.08 billion as part of a consortium purchase from British Nuclear Fuels Limited; this bolstered Shaw's nuclear engineering and fuel services amid a global resurgence in atomic power. The stake was sold back to Toshiba Corporation in 2013 for $1.6 billion, exercising a put option from the original deal, which provided significant financial returns and allowed Shaw to refocus on core EPC operations during a period of industry consolidation. These initiatives fueled robust revenue growth, with fiscal 2007 sales reaching $5.7 billion, a 20% increase from $4.8 billion in 2006, driven by booms in oil, gas, and petrochemical sectors that increased demand for Shaw's integrated services.

Ownership changes and restructuring

In February 2013, Chicago Bridge & Iron Company N.V. (CB&I) acquired The Shaw Group Inc. for approximately $3 billion in a cash-and-stock transaction, marking a significant shift in ownership and integrating Shaw's engineering, procurement, and construction capabilities—particularly its fabrication expertise—into CB&I's broader portfolio as the CB&I Shaw business sector. This deal, approved by shareholders in December 2012 and closed on February 13, 2013, positioned Shaw's operations under CB&I's global energy infrastructure focus, enhancing synergies in power generation and petrochemical projects. The ownership structure evolved further in 2018 when McDermott International, Inc. acquired CB&I in an all-stock transaction valued at $6 billion, completed on May 10, 2018, which incorporated Shaw's assets into McDermott's vertically integrated onshore-offshore engineering and construction platform. Under McDermott, Shaw's pipe fabrication and modularization services were combined with McDermott's offshore capabilities, aiming to streamline project delivery but exposing the integrated entity to heightened financial pressures from volatile energy markets. Financial challenges culminated in McDermott's voluntary Chapter 11 bankruptcy filing on January 21, 2020, in the U.S. Bankruptcy Court for the Southern District of Texas, aimed at restructuring $4.6 billion in debt while maintaining operations. As part of the bankruptcy proceedings, McDermott sold Shaw's pipe fabrication assets—including facilities in Louisiana, Texas, and other locations specializing in piping, structural steel, and modular assembly—to Ithaca Acquisitions Holdings LLC in June 2020 for an undisclosed amount, with the buyer subsequently renaming itself Shaw Acquisitions Holdings LLC and reviving the Shaw brand to operate independently. This divestiture restored partial autonomy to Shaw's core fabrication business, separating it from McDermott's broader liabilities. These ownership transitions and the associated had profound impacts on the , with Shaw's employee base—peaking at over 27,000 globally prior to the 2013 acquisition—undergoing significant reductions amid integration efforts, market downturns, and bankruptcy-driven cost-cutting measures that streamlined operations for efficiency. McDermott's preserved employee wages and benefits during the Chapter 11 process but focused on operational rightsizing, ultimately enabling the sold Shaw assets to relaunch with a leaner structure emphasizing specialized fabrication services.

Recent developments

In June 2020, The Shaw Group was re-established as an independent entity through the acquisition of former Shaw assets from McDermott International, Inc., under the ownership of Shaw Acquisitions Holdings LLC, with its corporate headquarters relocated to Houston, Texas. By 2023, the company's employee count had stabilized at approximately 1,400 across its operations in North America and the Middle East. In September 2025, The Shaw Group announced an expansion into high-purity pipe fabrication services, targeting growth in the pharmaceuticals and semiconductors sectors to address increasing demand for specialized, contamination-free piping systems. This initiative builds on the company's core expertise in pipe fabrication while diversifying into high-tech industries requiring stringent quality standards. On November 6, 2025, The Shaw Group entered into a with Synergen Green Energy and to develop a modular green production facility in , leveraging sources to produce sustainable for fertilizers and clean fuel applications. The collaboration emphasizes for efficient deployment and aligns with global goals in the sector. In June 2025, The Shaw Group acquired a majority stake in Prodigent Solutions Private Limited and opened new engineering premises in , , establishing a dedicated hub to support engineering, procurement, and fabrication projects across markets. This move enhances the company's regional presence and capacity for delivering integrated solutions to clients in emerging markets. On November 16, 2025, James M. Bernhard Jr., the founder of The Shaw Group, died at the age of 71 after a brief illness.

Operations

Core services

The Shaw Group specializes in pipe and steel fabrication, providing comprehensive services that include the production of complex systems for industrial applications. This encompasses the fabrication of , , and alloy pipes, with capabilities for high-volume production across multiple facilities. A key component of their pipe fabrication expertise is induction bending, which allows for the precise bending of large-diameter pipes up to 48 inches in diameter and wall thicknesses up to 6 inches, essential for energy infrastructure projects such as pipelines and power plants. In modular fabrication, the company excels in off-site of process modules, enabling efficient assembly and transportation of pre-built units for sectors including oil and gas, , and power generation. These modules integrate , , and equipment like heat exchangers and separators, reducing on-site time and costs while maintaining in controlled environments. For instance, Shaw has delivered modular solutions for renewable fuel refinery conversions and carbon capture projects, supporting downstream oil and gas operations. The Shaw Group offers full (EPC) services, integrating in-house design, material sourcing, and execution for heavy industrial projects worldwide. Recent expansions include high-purity pipe fabrication tailored for clean industries such as pharmaceuticals and semiconductors, where stringent cleanliness standards are required to prevent in sensitive processes. This capability leverages advanced , , and testing protocols to meet demands in emerging high-tech sectors. Custom solutions form a critical part of their offerings, including the manufacturing of pressure vessels and specialized components that adhere to rigorous industry standards. Shaw holds ASME certifications, ensuring compliance with codes for design, fabrication, inspection, and testing of pressure vessels and systems. Their welding operations are certified under ASME standards, supporting applications in high-pressure environments across and chemical industries.

Facilities and global presence

The Shaw Group's primary facilities are concentrated in , supporting its core operations in pipe, module, and structural steel fabrication. The company's main fabrication yard is located in Walker, Louisiana, approximately 30 miles from Baton Rouge, spanning 77 acres with 285,000 square feet of dedicated fabrication space. This site features advanced in-house capabilities, including induction bending up to 48 inches, hydrotesting, non-destructive examination, and robotic welding, enabling an annual pipe fabrication capacity of 1.8 million feet of developed inches (FDI). Additional key North American sites include the corporate headquarters and primary engineering office in , which oversee project execution and design services; a large module fabrication facility in , covering 295 acres with direct access for heavy-load transport up to 2,500 tons; a fabrication shop in ; and another in , on over 20 acres equipped for specialized pipe work. In November 2025, Shaw opened a new module fabrication facility in , enhancing its capacity for large-scale modular projects in the energy sector. In the , The Shaw Group maintains a significant presence through its facility in , , established in 2010 to support oil and gas projects. Situated on 50 acres in the Industrial City, this site offers 207,213 square meters of operational space, with monthly capacities including 6,600 pipe spools, 130,000 diameter inches of welding across mixed metallurgies, and 26,000 square meters of painting, alongside shipping up to 1,500 tons. The facility is certified to ISO 9001:2015, 14001:2015, and 45001:2018 standards, and approved by major operators such as ADNOC, Aramco, and KNPC, facilitating high-quality fabrication for regional energy infrastructure. A complementary operation exists in Askar, , focusing on state-of-the-art pipe fabrication. Expanding its international footprint, The Shaw Group entered the market in 2025 through a with Prodigent Solutions Private Limited, acquiring a majority stake to establish an hub in , . Opened in June 2025, this high-value (HVE) center provides design, procurement, and back-office support for projects across the region, leveraging Prodigent's multidisciplinary expertise in and . The initiative enhances Shaw's global project delivery by integrating local talent and resources for clients in energy and industrial sectors. Overall, The Shaw Group's infrastructure encompasses over 1.9 million square feet of fabrication capacity worldwide as of November 2025, with an emphasis on modular construction and structural steel output exceeding 100,000 tons annually across its network. Approximately 1,400 employees support these operations, with around 70% based in North America to drive the company's scale in serving global energy, chemicals, and power markets. High-purity services are bolstered by recent facility upgrades, such as expanded enclosed shop space at the Walker site.

Leadership

Founders and early executives

The Shaw Group was founded in 1987 in Baton Rouge, Louisiana, by J.M. Bernhard Jr., Oscar J. LaFleur, and A.W. Angelo as a pipe fabrication shop specializing in industrial services. J.M. Bernhard Jr., who earned a Bachelor of Science in construction management from Louisiana State University in 1976, served as the company's co-founder, chairman, president, and chief executive officer from its inception, guiding its transformation from a local fabrication operation into a global engineering and construction firm. Bernhard passed away on November 16, 2025. Prior to founding Shaw, Bernhard advanced through various roles in Baton Rouge's pipe fabrication industry after graduating in the mid-1970s, building expertise in construction and operations that informed the company's early focus on modular fabrication techniques. He led the firm through its initial growth phase, including its initial public offering on NASDAQ in 1993, which raised capital for expansion into engineering, procurement, and construction services. Oscar J. LaFleur, a co-founder with operational expertise from his background as a and long-standing membership in the of Plumbers and Pipefitters , contributed to the establishment of Shaw's core fabrication capabilities in its formative years. LaFleur retired from the company in the early 2000s after playing a pivotal role in building its operational foundation. A.W. Angelo, the third co-founder, managed the company's financial affairs and served as , playing a key role in securing funding and navigating the 1993 IPO that marked Shaw's entry into public markets. His financial leadership supported early expansions, including facility investments and strategic partnerships, until he departed as in the late .

Current leadership

As of 2025, The Shaw Group is led by Dan Simpson, who assumed the role in August 2024 following a tenure exceeding four years by his predecessor. Simpson brings over 30 years of experience in global manufacturing, engineering, procurement, and construction (EPC), power generation, and modular industrial projects, having previously held senior positions at companies like KBR and . Under his leadership, the company has driven post-2020 revival efforts, including the 2025 with Prodigent Solutions to establish a fabrication hub in , , enhancing Shaw's presence in the region for energy and chemical projects. Additionally, Simpson spearheaded a November 2025 partnership with Synergen Green Energy and for a modular green facility in , aligning with the firm's push into solutions. Operational oversight is distributed across regional leaders to support global integrations stemming from the 2020 asset acquisition. Matt Rodgers serves as U.S. and Global , managing domestic fabrication facilities and , with prior experience in EPC operations at . Paul Head acts as for the Middle East and North Africa (MENA) region, based in , where he drives international growth and facility optimizations, drawing on 34 years in energy sector operations from roles at AG&P and other firms. These executives have facilitated the seamless incorporation of post-acquisition assets, such as those from the former McDermott pipe fabrication units, into Shaw's worldwide network. Ben Zils holds the position of , responsible for financial strategy, , and infrastructure. With a background at and PricewaterhouseCoopers (), Zils has overseen the company's financial stabilization after the 2020 acquisition of assets divested during McDermott International's , which eliminated over $4.6 billion in debt for the parent entity. His efforts have secured funding for diversification initiatives, including the expansion into high-purity piping systems for pharmaceuticals and semiconductors, launched in 2025 to address emerging industry demands. The board of directors, influenced by the private equity backing of parent company Shaw Acquisitions Holdings LLC—formed in 2020 to acquire and revive the Shaw brand—emphasizes sustainability and strategic diversification. Chairman Doug Oberhelman, former CEO of Caterpillar Inc., provides expertise in global industrial operations. Vice Chairman Mike Childers, who led the company as CEO from 2020 to 2024, contributes insights from his energy fabrication background. Directors DeWitt Thompson III, a private equity veteran from Thompson Capital Management, and Jonathan Siegler, managing director at further private equity firms, guide investments in green technologies and international markets, supporting Shaw's evolution beyond traditional oil and gas into renewables and high-tech fabrication.

References

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