27/01/2021 - 17:01

Vertech doubles in size

27/01/2021 - 17:01

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Perth-based industrial services company Vertech Group has added to a string of acquisitions by purchasing a majority stake in APS, doubling annual turnover to more than $120 million.

Vertech doubles in size
Vertech's new subsidiary provides rope access services.

Perth-based industrial services company Vertech Group has added to a string of acquisitions by purchasing a majority stake in APS, doubling annual turnover to more than $120 million.

Vertech managing director Tom Brennan said the deal was an integral part of his strategy to enter new vertical markets across Australia.

Established in 2005, APS provides access platforms, scaffolding and rope access services to the east coast infrastructure and power sectors.

The Melbourne-based company also worked on Chevron’s giant Gorgon LNG project.

It complements the inspection, maintenance and specialist access services that Vertech delivers to the oil & gas, defence, mining, and marine industries.

APS has 240 employees and generated $62 million of revenue in the year to June 2020 and has forecast sales of $70 million in the current financial year.

That will more than double the size of Vertech, which had sales of $62.2 million last financial year and a workforce ranging between 200 and 250 people.

The deal follows a busy growth period for Vertech, with a series of acquisitions and joint ventures across Australia and New Zealand in the past 18 months.

In November last year, it entered into a joint venture with Perth company Blue Ocean Monitoring to establish Blue Ocean Marine Services.

The new company will specialise in the use of autonomous underwater vehicles and robotic technology to provide site appraisal, regulatory compliance, subsea inspection, and emergency response services.

The Blue Ocean deal came one month after Vertech acquired MMA Offshore’s asset integrity division.

Other acquisitions have included New Zealand-based Abseil Access in 2019 and Vertech Tank Testing in March 2020.

Vertech’s rapid expansion been supported by private investment company CWL Group, which has moved to full ownership of Vertech after acquiring an 80 per cent stake in 2018.

CWL’s portfolio of operating businesses include UK-based Sonomatic and Perth-based Geo Oceans, which specialise in sub-sea inspection and testing services.

Vertech Group was advised by Perth firms Octavian Group and Chew + Mathews on the APS acquisition, while APS engaged PwC in Melbourne and DLA Piper.

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