Coffey paid $6.4 million in cash and $0.5 million in shares for the single transaction, completed today. More than 50 track, signalling and rail infrastructure and project management specialists will join Coffey’s staff as part of the deal.
“These acquisitions position us for rapid growth in the booming infrastructure market, particularly in the rail sector, and boost our established project management capability,” Coffey International Limited managing director Roger Olds said.
Coffey expands into rail infrastructure market - rapid growth anticipated
Asia Pacific Rail, which will continue to operate under its current name in the short term, will spearhead the formation of a new specialist rail business within Coffey group. The business will specialise in rail infrastructure consulting and engineering. Coffey aims to grow this business rapidly through organic and acquisition growth.
Asia Pacific Rail is located in Melbourne and New South Wales. It provides specialist advisory and technical engineering services in railway infrastructure, mostly to the Victorian Government.
“The combined expertise of Asia Pacific Rail and John Wertheimer Consultants in advisory and consultancy services to the rail sector, and management of new infrastructure, provides a solid foundation from which to launch a specialist Coffey rail business,” Roger said.
“Rail is an exciting and logical progression for Coffey. Our specialist services are well known in environmental and geotechnical consulting and project management.
Asia Pacific Rail’s clients will benefit from our depth of knowledge in these areas while these acquisitions boost Coffey’s ability to offer a wide range of specialist services across many sectors to new clients.
“We look forward to working with the sector to build and improve its current skill set and further develop a team of highly experienced professionals that can realise the full growth potential of this area,” Roger said.
Coffey continues to grow project management capability
Melbourne-based John Wertheimer Consultants provides project and contract management services in all aspects of project management, superintendency and project planning, in both the private and government sectors.
It will be incorporated into the Coffey group’s new specialist project management business, Coffey Projects, which also begins business as a new entity today.
Coffey’s project management business previously consisted of Clifton Coney Group and was bolstered by the acquisitions in November 2007 of Haralambous Dowse in Canberra, Duncan Rhodes in South Africa and Carson Group in New Zealand and Australia. These propelled Coffey into the position as one of the world’s largest project management providers, and the newly named Coffey Projects has been operating as an integrated division since then.
Coffey to retain founder as chief operating officer
John Wertheimer, managing director of Asia Pacific Rail and John Wertheimer Consultants has provided strong leadership for the businesses for the past 20 years which has seen them develop a well established position and reputation in the market place. He will stay on in the businesses as chief operating officer.
John said that it was now time to take the next step and he was excited by the new direction and future opportunities for Asia Pacific Rail that the incorporation with Coffey would entail.
“This acquisition will give Asia Pacific Rail an opportunity to grow in Australia and internationally and to realise its full potential. For example, in 2006 the Victorian Government released its blueprint for transport for the next 10 years, which included significant expenditure commitments for the planning and development of railway infrastructure. Asia Pacific Rail is actively participating in this program and combined with the additional experience and resources of Coffey, I am confident we can guide our staff to greater achievements in the growing rail sector,” he said.
Roger concluded: “Today’s announcement further demonstrates our commitment to strong organic growth and acquiring culturally-aligned businesses which expand the Coffey group’s services in sectors in which we want to grow.”
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About Coffey
Coffey International Limited aspires to improve the lives of world communities by providing physical and social infrastructure solutions to business, government and development assistance agencies.
Coffey has a market capitalisation of almost AUD$500million. It employs approximately 2,400 people. Coffey has approximately 50 offices in Australia, with permanent offices in the UAE, Indonesia, Vietnam, Papua New Guinea, the USA, the Philippines, South Africa, Ghana, Zambia, United Kingdom and New Zealand, and project offices spread throughout the world.
Coffey International Limited is listed on the Australian Stock Exchange and is part of the S&P ASX 300 and small companies’ indices.
Visit www.coffey.com for more information.
About John Wertheimer Consultants
John Wertheimer Consultants provides project and contract management consultancy services in all aspects of project management, superintendency and planning of project, in both the private and government sectors. It has been operating in Melbourne since 1987.
Visit www.wertheimer.com.au for more information.
About Asia Pacific Rail
Asia Pacific Rail is Australia’s leading railway engineering consultancy. It provides specialist advisory and technical engineering services in the management and engineering of railway infrastructure, including heavy and light rail.
A large proportion of the company’s revenue is from government contracts with the Victorian State Government’s Department of Infrastructure.
Operating since 1992, it has a presence in Melbourne and New South Wales.
Visit www.asiapacificrail.com.au for more information.
Note to editors
Roger Olds is available for interview. To arrange an interview or for further information, please contact:
Josephine Marriage, Mendleson Communication on +61 3 9827 0422, 0408 366 378 or josephine@mendleson.com.au
