On Wednesday, 15 August 2018, Ausdrill announced it had entered into a binding agreement to acquire 100% of the equity and equity-like instruments in Barminco. Barminco is one of Australia’s leading underground hard-rock mining contractors and is Ausdrill’s existing joint venture partner in AUMS.
If implemented, the acquisition will create Australia’s second largest mining services company, transforming the Ausdrill Group. The bid values Barminco’s equity at A$271.5 million, together with $425.5m of net debt, implying an enterprise value of A$697 million. At acquisition completion, Barminco vendors will own approximately 22.1% of New Ausdrill.