Boom Logistics buying again
24 April 2008
Australia:The largest crane rental house in the country, Boom Logistics, completed the acquisition of Camilleri Industries Australia in mid-March. The Camilleri fleet cost $20 million (AUS$27.5 million) and is Boom's 14th acquisition in six years. Last year Boom bought the fleets of Sherrin Hire, Cameron Cranes, Brambles Port Hedland Cranes and Carrington Steel (ACT September 2005 News, p12).
Based in Mackay, Queensland, Camilleri operates 50 cranes, including 38 to 220 ton capacity all terrains, a range of 17 to 22 ton capacity Terex-Franna industrial cranes, 55 ton capacity RTs and 55 to 110 ton capacity crawlers.
Camilleri primarily services coal mines in the Mackay and Bowen Basin regions, although it recently invested in a small number of tower cranes to work in the growing residential building sector.
Also included in the purchase is Camilleri's fleet of 90 forklifts. Camilleri is expected to generate revenue of $18.9 million in the 2006 financial year.
Boom already operates 54 cranes in the Bowen Basin, and managing director Rod Harmon said the purchase made good sense. “The acquisition of Camilleri represents a strong strategic fit with Boom and consolidates Boom's position as the premier lifting solutions company in the high growth Bowen Basin coal region,” he said. “Importantly, it provides ready made access to assets and labor to capture an increased market share.”
Further acquisitions may be on the horizon with the news that Boom is to undertake an equity raising of US$51 million (AUS$70 million) through a placement of newly available shares.