The Directors of Paladio Group Limited are pleased to announce that a conditional agreement has been reached to purchase all of the business assets of Matrix Engineers Pty Ltd (Matrix).
Matrix is a Perth based engineering design and drafting services provider specialising in civi and structural engineering both in Australia and overseas.
Matrix was founded in 2004 by Mr. Jeremy Green and Mr. Paul Kreppold to provide design
documentation and engineering services to the mining and petrochemical industry sectors
Both Messrs Green and Kreppold were formerly long-serving principal discipline engineer
at Minproc.
Matrix currently employs 35 engineering and drafting staff in their Perth office and also a clients’ premises. Their major current contract is the provision of engineering services for Inco’s Goro nickel project.
The business will continue to trade as Matrix Engineers and is expected to contribute more
than $8 million in revenue annually with excellent prospects for further growth.
Paladio’s Managing Director, Mr. D1ck Wright said, “Our engineering services division has
performed strongly since its inception with high demand in the resources sector likely to
continue in the foreseeable future. The opportunity to acquire Matrix is strongly
complementary to our existing businesses as it further expands our engineering design an
drafting services capabilities, as well as our customer base”.
The two founders, Messrs Green and Kreppold, will enter into two year contracts of
employment and will continue in their roles as senior management members of Paladio’
engineering services division. Mr. Green said, “We are very optimistic about the growth
potential offered by current market conditions which will now be augmented by joining the
Paladio group of companies.”
The consideration payable by Paladio for Matrix is $3.2 million over two years via a mix of cash (70%) and shares (30%). The equity component will be at a deemed issue price of
$0.75 per share. The cash component will be funded from Paladio’s existing cash reserves.
Settlement of this acquisition is subject to due diligence deliberations and settlement i
anticipated to be completed by the end of this month.
PDO
paladio group limited
