Cranecorp Australia has secured a capital injection and new major shareholder, bolstering its plans for growth and expansion.
Specialist industrials investor, Viburnum Funds, has agreed to acquire a majority shareholding in Cranecorp Australia.
Cranecorp specialises in shut down and maintenance lift services in the mining and resources, oil and gas, utility, renewables and manufacturing sectors. It also provides wet hire, dry hire and specialist labour hire services.
The company’s founder, Rick Musarra will continue as a Director along with the current Chairman Rod Evans. CEO Rod White, who also has equity in the business, will remain, as will existing management and staff.
The exception is long-standing Executive Director and significant shareholder Craig O’Donnell, who will exit the business and retire after more 20 years with the company. Viburnum’s Marshall Allen and James O’Mahony will join the Cranecorp Board.
- Self-erecting crane used to build $27M Mona expansion
- TRT makes major expansion
- Autonomous crane firm Intsite receives $1.3m in funding
Viburnum Managing Partner Marshall Allen said the company was really impressed by the Cranecorp business.
“It’s extremely well run, with a high calibre team, and a track record of execution for major assets and clients,” Allen said.
“Cranecorp was a very appealing proposition for us and we look forward to partnering with the Cranecorp team to continue to provide exceptional service to Cranecorp’s customers.”
Evans said the deal was an important breakthrough that would catapult Cranecorp into the top tier of Australian crane operators.
“We are very excited about what the new relationship with Viburnum will bring. They focus on investing in successful mining services companies like Cranecorp, and we share a common vision about how we would like to grow the company,” he said.
“With a new major partner, we look forward to continuing the impressive record of growth Cranecorp has achieved over the past 25 years.
“This will be good news for our loyal clients too because it will enable us to add to the fleet and continue to provide quality, modern equipment to complement our high levels of service.
Cranecorp was advised on the deal by Azure Capital.
Azure’s Managing Partner, Adrian Arundell said the deal was an excellent fit for both parties.
“The proven growth track record of Cranecorp aligned with Viburnum’s sector focus and partnership approach, which made this a great deal to conclude,” Arundell said.
“Both parties share an ambitious growth vison and look forward to working together in the future.”
Cranecorp operates from its head office in Henderson, south of Perth, and in seven other locations across WA’s North West, Mid-West and Goldfields mining provinces, including: Kalgoorlie, Leonora, Leinster, Geraldton, Tom Price, Wickham and Canning Vale.
The transaction is subject to customary conditions and is expected to close shortly.