Construction and Engineering Company – North East Australia

Business overview

 –      An outstanding opportunity to acquire a well established and highly successful Engineering and Construction company with an exemplary track record in designing and constructing industrial and commercial buildings across Australia and several other countries around the world.

–      The company based in North East Australia, provides a range of design and construction services across a wide range of civil and construction projects but also has fundamental strength in two specific niche sectors where it is currently enjoying significant growth.

–      In the financial year to end of June 2013 company sales revenues were in excess of AUD $24m (all $ references are Australian Dollars) and there are projects already committed for the next financial year with a value in excess of $21m.

–      Having taken a pioneering role in both of its niche business sectors the company now has a highly established position in these sectors and enjoys virtually unassailable cost and capability advantages over its competitors.

–      The company has a strong team of 25 staff including a highly experienced management team most of whom have been with the company for more than 10 years. The company has a strong open culture of self development and accountability.

–      The company has a strong business development pipeline and due its profile and strengths in its core sectors it is routinely invited to tender as well as being notified of opportunities by head contractors, sub-contractors, planners and investors.

–      The company has a very strong outlook and each of its niche sectors are still expanding. Current known projects provide for a solid nucleus of opportunities for at least the next four years and new projects are regularly going into planning. Current investments by the company in enhanced internal engineering and manufacturing capability will create even greater potential to win projects and maximise margins.

–      The company has delivered an EBITDA of in excess of $1.8m for the year to June 2013. The average bank balance in the last 12 months was c.$2.5m and the company is debt free with a strong balance sheet.

–      The reason for sale is that the shareholders are beyond retirement age and wish to retire but the Managing Director is committed to a full extended handover of the business.

SOLD