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Diversified services provider Symal Group (ASX: SYL) is boosting its presence in Queensland through the $28 million acquisition of civil contracting and haulage businesses Timms Group and L&D Contracting.
The cash deal expands the Melbourne-based Symal’s contracting, haulage and repurposing capabilities while giving the group access to Queensland’s growing infrastructure pipeline ahead of the 2032 Brisbane Olympics.
The Brisbane-based Timms Group is an integrated civil and haulage contractor, and partial construction and demolition (C&D) repurposing materials business, while L&D Contracting is an integrated civil contractor which has worked on major projects such as the $3.6 billion Queen's Wharf development in Brisbane's CBD.
Symal says the acquisitions will strengthen the group’s integrated contracting model, enabling an immediate expansion in the Queensland market.
The move will also enhance the group’s ability to deliver end-to-end solutions across major and minor infrastructure, building and facilities, and partial C&D repurposing.
Symal already has a strong presence in the Queensland market, buoyed by the $11 million acquisition in September of Gold Coast-based water utilities contractor McFadyen Group.
Symal Group’s managing director Joe Bartolo says the latest deal for Timms Group and L&D Contracting is part of a strategic push into the state, describing the businesses as “highly respected ... with strong client relationships, self-performing and proven track records in Queensland’s civil sector”.
“Their culture and values align with Symal’s and the addition of their specialist fleet significantly enhances our Queensland offering and market share,” says Bartolo.
“With Brisbane entering a major infrastructure growth phase, driven by the 2032 Olympics, population growth and record investment in transport, housing, stadiums and public amenities, this acquisition provides Symal with a platform for long-term growth in South-East Queensland and is a clear example of our strategy to grow with the right people, in the right markets and always with long-term value in mind.
“By adding Timms and L&D Contracting to the group, we can continue to extend Symal’s differentiated, self-performing and integrated delivery model into Queensland.”
Symal says the deal will add more than $28 million in “high-quality plant and equipment, a skilled workforce and a robust project pipeline” to the group.
The company sees the combined businesses delivering an integrated platform capable of servicing new Tier 1 and Tier 2 opportunities, “unlocking greater market share, enhancing operational leverage, and supporting margin expansion and resilience”.
The acquisition, which also carries an earn-out component, is expected to be earnings accretive from the first year of ownership, with forecast annualised underlying EBITDA of about $8 million in FY26.
The conditional acquisitions will be funded through existing cash reserves with completion expected in the third quarter of FY26.
Symal plans to provide an updated FY26 guidance once the deal is finalised.
Shares in Symal were trading 13c higher at $3.03 at 10.38am.
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