What happened
Mining contractor Macmahon Holdings agreed to acquire 100% of Aspect Engineering Solutions for an enterprise value of $75 million, sending its shares up 6.0% to $1.05. Aspect generated $75 million in FY26 revenue with an EBIT margin near 20%. The deal is funded through cash, retention payments, and earn-outs, with completion expected this calendar year.
Why it matters here
The deal expands Macmahon's services platform into higher-margin engineering and mineral processing. At an acquisition multiple of 5.0x FY26 EBIT compared to Macmahon's trading multiple of 11.4x, the purchase delivers an estimated 6.2% underlying earnings per share accretion before synergies and an expected base case internal rate of return of 40.4%.
What to watch
Final transaction completion during the current calendar year and initial financial contributions reported in Macmahon Holdings' upcoming financial year earnings announcements.
Source
marketindex.com.au