Keller Group plc (“Keller” or “the Group”), the international ground engineering specialist, today announces that it has acquired Piling Contractors in Australia.
Piling Contractors is Australia’s second largest specialist foundations contractor, with annual sales of around A$50m (£20m) for the year ended 30 June 2006. The acquisition will consolidate Keller’s position as market leader in Australia. The total consideration for Piling Contractors comprises an initial amount of A$24m (£9.6m) net of acquired cash, with an additional earn-out of up to A$3m (£1.2m) based on future profits.
Piling Contractors has strong links with the civil engineering, infrastructure and mining sectors, in which Keller is currently under-represented. It offers large diameter bored piling, driven piling, sheet piling and diaphragm/cut-off wall solutions. By teaming up with Keller Australia’s ground engineering business, which offers complementary systems, it will also be in a position to offer packaged solutions going forward.
Commenting on the acquisition, Justin Atkinson, Chief Executive of Keller, said:
“Piling Contractors is a much respected and growing contractor and we are delighted that its skills and expertise will now be available within Keller. The acquisition will consolidate our position as foundations market leader in Australia, enabling us to take full advantage of future opportunities in this strong market.
“This is one more step forward in our strategy of further consolidation of our global leadership in specialist ground engineering services, through a combination of organic growth and targeted acquisitions.”