Neptune Marine Services announced that it had signed an agreement to acquire Perth based Access Management Pty Ltd following the successful completion of due diligence requirements. Neptune announced it had signed a letter of intent for the acquisition.
The sale and purchase agreement was entered into by Neptune Marine and Access Management’s shareholder and Managing Director, Steve McCarthy. The acquisition is being funded with cash raised by way of the share placement.
Under the terms of the SPA, Neptune has agreed to acquire 100% of the issued capital of Access Management for an initial payment of $4.5 million and a three year earn out period based on EBIT performance of Access Management. All payments will comprise 80% cash and 20% shares, the issue price of which is based on the 10 day volume weighted average price at date of issue.
As part of the acquisition, McCarthy will remain with the business for a minimum of three years. Similarly, all of Access Management’s full time employees will also remain.
Managing Director and CEO of Neptune Marine, Christian Lange, said the addition of Access Management further extended the integrated service capabilities of the Neptune group across the oil and gas, mining, petrochemical and maritime industries. “Access Management’s innovative services perfectly complement our current capabilities across these industries,” he said. “In the offshore oil and gas industry, the service provided by Access Management above the water level mirrors that of our capabilities below the water level. As a result we can now provide our clients with a tailored, packaged service that is both cost and time effective – a major consideration for operators of working assets.
“The specialized nature of the service also provides the scope for leveraging across the global business as we continue to expand our international presence,” he added.
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