International buyer snaps up Mackay engineering company
AN INTERNATIONAL engineering group has snapped up long-running Mackay engineering company G&S Engineering.
DRA Global announced on Friday morning it had signed a conditional Sale and Purchase Agreement for the acquisition of Queensland based G&S Engineering from Calibre Group Limited.
However, DRA Global withheld the cost of its acquisition.
The company said its acquisition of G&S Engineering - which has offices in Mackay, Brisbane and Perth and employs about 1000 people - "significantly expands DRA's footprint and project execution capabilities in Australia".
G&S Engineering started in Mackay back in 1995 and is well-known in the region.
"The sale and purchase is conditional on a number of normal course conditions precedent and, subject to satisfaction of those conditions, is expected to complete in late July, 2018" a DRA Global statement read.
"This acquisition continues DRA's rapid expansion in the Asia Pacific region. The acquisition provides DRA with a significantly expanded footprint in Australia, specifically on the East Coast where G&S Engineering has an extensive presence."
DRA Global, which originated in Africa, said the acquisition will extend its procurement, project management, construction, commissioning, operations and maintenance capabilities in Australia.
Managing director of DRA for Asia-Pacific Greg McRostie said the group's purchase "is very much in line with our growth strategy".
"We have been working closely with them for over a year now and I am delighted they will be joining the DRA group," he said.
"Australia is a key market for DRA and this acquisition gives us a well-established maintenance and optimisation platform as well as a greater presence in the region, while broadening the scope of services we can offer our clients.
"The management team at G&S has a strong track record and relationships with a number of Australian resources companies, and we look forward to working with them and the broader G&S team as we grow our business."
G&S Engineering has been contacted for more information.
In 2012, the company was purchased by the Calibre Group in a $100 million deal.