15/02/2019 - 14:28

RCR’s remaining WA assets sold

15/02/2019 - 14:28

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The sale of RCR Tomlinson’s Western Australian operations is complete, with RCR Resources, RCR Power and RCR Water West sold to AvidSys Group for an undisclosed sum.

RCR’s remaining WA assets sold
The total sales of its WA assets have secured around 500 jobs.

The sale of RCR Tomlinson’s Western Australian operations is complete, with RCR Resources, RCR Power and RCR Water West sold to AvidSys Group for an undisclosed sum.

In a statement, administrator McGrathNicol said the latest deal had secured the jobs and entitlements of 150 employees.

Perth-based AvidSys is the Australian subsidiary of India-based Sanrachna Group.

McGrathNicol partner Rob Brauer said the deal concluded the RCR sales process in WA, with the total transactions securing around 500 jobs.

“AvidSys’ investment in RCR’s assets in WA ensures the local management team led by Andy Griffin will continue to deliver for its longstanding customer base,” he said.

AvidSys resources division chairman Ansh Gautam said the transaction represented a strategic extension of Sanarchna’s global strategy to provide vertically integrated end-to-end businesses, as part of its wider group.

"The RCR team is well regarded in WA - we respect and want to build on RCR's 120 year history for many years to come," Mr Gautam said.

AvidSys group head of business relations Peter Turnbull said the 150 remaining employees at the three divisions would be needed to service both RCR customers and its own customers.

"Our sister company and wholly owned subsidiary Remsafe will also prove invaluable in securing the future works of RCR Tomlinson and growing Remsafe," Mr Turnbull said.

"We have already held in depth meetings with the retained top management of RCR Tomlinson and are actively working on the transition plan to full operational control of the group."

This is the fifth separate sale of RCR’s businesses since the company went into administration.

McGrathNicol has previously sold RCR O'Donnell Griffin's rail business to John Holland for an undisclosed sum and RCR's energy services business to The Environmental Group for $3 million.

Its laser business was sold to Unique Metal Works for an undisclosed sum, and NRW Holdings purchased its mining and heat treatment businesses for $10 million.

 

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