Henderson-based modular building supplier Nomad Building Solutions Ltd will acquire Brisbane-based transportable home builder Halley Homes for $6 million in cash and scrip, the company has announced.
The acquisiton comes around eight months after Nomad's $17.6 million acquisition of Wangara company McGrath Homes in December, 2006.
The full text of a Nomad announcement is pasted below
Nomad Building Solutions Ltd (ASX code : NOD) is pleased to announce that it has executed an agreement for the acquisition of the assets and business, including the trading name, of Brisbane based transportable home builder Halley Homes for $6m.
The consideration will be satisfied by the payment of $4m in cash and the issue of 673,401 shares in Nomad Building Solutions Ltd at a price of $2.97.
The contribution from the Halley Homes business is forecast to be earnings per share accretive for the Nomad Group.
Halley Homes was established in 1996 and provides transportable homes throughout Queensland and parts of New South Wales.
The annual turnover from the business is forecast at around $25m with sales generated from both the residential and commercial sectors.
Existing management will continue to operate the business after settlement and are welcomed to the Nomad Group.
The board and management of Nomad are delighted to have reached an agreement for the acquisition of the Halley Homes following on from the successful acquisition of McGrath Homes in December 2006.
The acquisition expands Nomad's geographical spread of its transportable homes operations while adding further diversity to the Group's operating markets and sectors.
Completion is set to occur on 31 August 2007 subject to various normal conditions precedent being met.
