Ric Stowe's Griffin Group has sold its Instant Access scaffolding subsidiary to South African-owned private equity group RMB Ventures and its senior management team for $40 million.
Ric Stowe's Griffin Group has sold its Instant Access scaffolding subsidiary to South African-owned private equity group RMB Ventures and its senior management team for $40 million.
The Perth-based diversified mining, energy and industrial company had acquired Instant Access as part of its purchase of WR Carpenter Holdings Limited in 1983.
RMB Ventures is part of Rand Merchant Bank's Australian operations which has conducted a number of private equity deals, including the puchase of Perth founded international window treatment business Tint-A-Car.
The Griffin Group was advised by Corpac Partners
Below is the full announcement:
The Griffin Group has announced the sale of Instant Access Australia and its subsidiary Instant Access NewZealand to private equity group RMB Ventures and its senior management team for $40 million.
Instant Access is one of the nation's leading providers of quality, easy-to-assemble access equipment to the construction industry, including scaffolding, modular swinging stages, scissor and vertical boom lifts.
RMB Ventures is a leader in the mid-tier 'buy and build' private equity space. RMB Ventures has partnered with the Instant Access senior management team to leverage the business' strong position in the sector.
Diversified Australian mining, energy and industrial company The Griffin Group had previously acquired Instant Access as part of its purchase of WR Carpenter Holdings Limited in 1983.
RMB Ventures Principal Philip Latham said Instant Access was a classic 'buy and build'
investment for RMB Ventures.
"Our aim is to provide funds to businesses to enable growth both organically and by acquisition
over a three to five year period," he said.
"Instant Access fits perfectly into that space.
"We believe that in partnership with its senior management team, Instant Access is set to
achieve outstanding results in the future.
"There are numerous acquisition opportunities in the construction services sector, which will
provide Instant Access with further opportunities for growth and development."
Instant Access Chief Executive Officer John Lucano said the management buy-out in
conjunction with RMB Ventures represented an excellent partnership in which the business'
senior management team will become significant equity investors.
"We are very excited to work with RMB Ventures, given their track record in successful buy and
build scenarios," he said.
"RMB has helped the senior management team move from employees to owners, which is a
fantastic reward for the senior management team and staff.
"Our relationship with RMB will allow us to pursue the company's growth strategy, help us
strengthen our market position and geographical spread, consolidate and diversify our product
range, particularly in elevated work platforms and steel scaffolding, and further penetrate the
infrastructure, maintenance and residential construction industry sectors."
The Griffin Group was advised by Corpac Partners. Corpac Partners Chief Executive Officer
Robert Crossman said the transaction was a successful one for The Griffin Group.
"The sale of Instant Access for $40 million represents a good return for The Griffin Group whilst
providing Instant Access' management with an exciting opportunity to build the business further
in partnership with RMB Ventures. The funds will be applied towards The Griffin Group's
continued expansion in the energy and power generation sectors."
About Instant Access
Instant Access is one of Australia's leading and longest-established access specialists and is a
top 100 player globally in the provision of mechanical access equipment.
Instant Access was established in 1968 as Instant Scaffolds. The founders were instrumental in
the introduction of a lightweight aluminium scaffold to Australia.
Instant Access hires, sells, assembles, distributes, markets and services access equipment
used in commercial and residential construction and maintenance including scaffolding,
elevated work platforms, swinging stages and specialised access equipment to specific
customer requirements. Instant Access also offers a range of support services including
delivery, erection, dismantling and training for clients using access equipment.
About RMB Ventures
RMB Ventures is a private equity firm with a mandate to invest over $300 million in Australasian
businesses and is known in the industry as a 'buy and build' specialist. RMB Ventures
commenced operations in 1998 and has an enviable track record in mid-market leveraged buyouts,
with recent successful divestments including Bluestone Group, Austral Refrigeration,
Hastie Group and Concrete Technologies.
About The Griffin Group
The Griffin Group is one of Australia's leading energy and coal companies and is a major
contributor to the West Australian economy. The Griffin Group's portfolio also includes property,
agriculture, packaging, wholesale distribution, advertising and signage interests.
Instant Access was acquired as part of The Griffin Group's acquisition of WR Carpenter
Holdings Limited in 1983.
About Corpac Partners
Corpac is a leading specialist in mergers and acquisitions, equity capital markets and project
advisory.
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