Emeco Managing Director and CEO, Ian Testrow, said: “Matilda Equipment provides Emeco with a niche equipment rental business, allowing it to provide customers an additional service offering. By specialising in low hour, late model, in demand ancillary mining equipment, Matilda Equipment generates strong EBITDA margins and cash, which is in line with Emeco’s deleveraging strategy.”He adds: “Combining Emeco and Matilda Equipment also provides Matilda Equipment with a disposal channel as its equipment reaches the end of its first component life, whilst giving Emeco an additional channel for refreshing and sustaining our fleet of ancillary equipment. The Force component rebuild capability allows us to run these assets through multiple component lives, extending equipment life, lowering costs and further reducing capital expenditure requirements. There is a strong strategic rationale for combining and creating value for the two businesses.”
Testrow added: “We are pleased to welcome Matilda Equipment’s founding CEO, Dan Jauncey, its CFO, Damien Wilson, and the entire Matilda Equipment team to Emeco. Matilda Equipment has a strong cultural alignment to Emeco’s, centered on entrepreneurialism and a customer first approach to providing equipment rental solutions. Matilda Equipment’s deep relationships in the market, in conjunction with its strong procurement capabilities when combined with Emeco’s existing platform presents an exciting opportunity for Emeco going forward.”