Calibre Group subsidiary Brown Consulting has acquired New Zealand-based engineering firm Spiire NZ for $NZ1.9 million ($1.75 million) from Downer as it continues efforts to diversify into new markets.
Spiire has 120 staff across six offices throughout NZ and provides structural and civil engineering and surveying across a number of sectors.
Spiire is expected to generate about $NZ19 million ($17.5 million) in revenue in the 2014 financial year, including an anticipated contribution to Calibre of about $NZ8 million ($7.3 million) over the five months after the deal closed on February 1.
Calibre said the purchase came at a time of improving economic conditions in NZ, with urban housing infrastructure upgrades in Auckland and rebuilding activity in Christchurch following a massive earthquake in 2011 providing significant construction opportunities.
"We continue to see appropriately targeted acquisition opportunities as an attractive means of broadening Calibre's capabilities and service offering as well as diversifying our end markets," Calibre managing director Peter Reichler said.
"Spiire is well placed to benefit from the improving momentum in the New Zealand economy."
Brown, which last year acquired Perth-based structural and civil engineering firm E-Tec Consultants, has offices throughout Australia and in Singapore.
The Spiire purchase is expected to lift Brown's contribution to Calibre revenue from about 8 per cent to 11 per cent in FY14.
Calibre shares were trading 6.5 per cent higher at 48.5 cents at 10:15am WST.
