Leading engineering services company, Neptune Marine Services (ASX: NMS) today announced it had signed a Letter of Intent for the acquisition of Perth-based Access Management (WA) Pty Ltd ("Access Management"), one of the largest specialist access companies in the Asia Pacific region.
Under the terms of the agreement Neptune proposes an initial payment of AUD$4.5 million, with the added consideration of a three year earn out period based on EBIT performance. Access Management generates annual revenus of AUD $4 million and EBIT of AUD $1 million. The acquisition will be funded by casg raised by way of the share placement concluded on 14 December 2007.
Since 1999, Access Management has built a reputation of safety, quality, cost-effectiveness and innovation with its global client base in the oil and gas, mining, chemical, petrochemical and maritime industries. Through the use of rope access, lightweight staging and tension netting, the company provides safe solutions to difficult access problems that meet strict International Rope Access Trade Association (IRATA) requirements.
Managing Director and CEO of Neptune Marine, Christian Lange, said the Access Management business would further enhance and add value to the comprehensive suite of integrated services that Neptune was providing to its expanding global clientele.
“Access Management represents a young, dynamic company whose innovative services could be seamlessly assimilated into those of the Neptune Marine group that continues to consolidate its position in the global marketplace,” he said.
The acquisition is subject to the completion of satisfactory due diligence and contractual documentation.
