Manufacturer of refrigeration products and systems Hastie Group Ltd
(ASX:HST) says it has expanded its coverage of the northern Queensland and northern NSW markets with two acquisitions, increasing its secure revenue base.
Hastie has acquired James & Moore, a multi trade air conditioning and electrical maintenance services from offices in Cairns and Townsville, and Cool-it in Tweed Heads, NSW, which services and installs air conditioning equipment for the commercial and residential markets from Coffs Harbour, NSW to Yeppoon, QLD.
The businesses have combined revenue of around $35 million.
Hastie says the combined initial purchase price, paid in cash, represents an average earnings before interest and tax multiple of 2.8 times, with the opportunity for further performance-based earn-out payments over two years.
CEO David Harris says the two acquisitions are in line with Hastie’s strategy to increase recurring maintenance revenue and expand its geographic coverage.
Hastie Group’s profits have been increasing year on year for the past four years.
