Mining services firm ADG Global Supply has announced the acquisition of UK-based Winchester Procurement for £1.12 million.
ADG said in a statement the acquisition would extend its customer base, significantly lift its reach as a supplier and provide increased buying power.
Winchester was established in 1990 and approximately 60 per cent of its revenue is derived from Africa-based clients.
The acquisition follows ADG’s establishment of a London office four months ago, as part of its efforts to better service its African operations.
“With the addition of Winchester Procurement, ADG expects a significant uplift to our European operations in terms of a considerably expanded supplier base, new customer and revenue streams,” ADG managing director John Mancini said.
“The acquisition also increases our people and operational capability to quickly advance ADG’s plans to service clients across Africa.
“The Winchester brand will remain and ADG will extend its project logistics, industrial products and other services to Winchester customers. As we integrate various back end functions into ADG’s operations we anticipate cost savings and margin improvements for both businesses.
“We have retained the founders of Winchester Procurement, including George Rodger, who will add new skills and expertise to the Group. We will also benefit from the additional resources of the current team who will continue to operate from their headquarters in Winchester, Hampshire.
“This strategic move not only strengthens our position to service our key region of Africa, it also expands our global footprint – one of our key initiatives to drive revenue growth and margin uplift.”