Positron provides electrical services – including construction, maintenance, manufacture and overhaul of substations and switchboards – to customers in the mining, resource and infrastructure sectors across Australia.
Positron subsidiary Tripower (Mackay Fluid Power and Mackay Air and Fluid Power), located in Mackay, Queensland, provides hydraulic and pneumatic services to the Bowen Basin coal industry and complements RCR's Western Australia-based hydraulics business.
“These complementary skills will allow for an increase in the components supplied by RCR for the existing range of products currently offered to industry," RCR Tomlinson CEO John Noordhoek said.
“Fifteen percent of the Positron Group turnover is derived from the infrastructure sector in New South Wales and this represents a new major market opportunity for the other business units of RCR."
Based on Positron’s forecast earnings of $10.9 million for the 2008 financial year, RCR's buying price is approximately four times that amount.
Noordhoek said the acquisition is expected to boost company revenue by up to 25% per annum and will further cement RCR as one of Australia's top-tier engineering services firms.
In its 2007 financial year results released yesterday, RCR posted an impressive 34% increase in sales from $272 million to $364 million, while net profit after tax rose 11% from $15.8 million to $17.6 million.
The new acquisition will see the establishment of a new RCR business unit, RCR Electrical Services, which will be headed by Positron principal Jeff Hogan.
The unit will complement the existing business units, RCR Construction and Maintenance, RCR Engineering and RCR Energy Systems and Industrial Services.
During the past year, RCR has completed the purchase of JG Engineering, VRBT, Australian Crushing Repair, the Applied Laser Group, Boilergenics and Eagle Engineering.