McAleese lets Liquip subsidiary go for $65 million

By: Rob McKay


Sale to Dover’s OPW business comes as revenues rise on previous quarter

McAleese lets Liquip subsidiary go for $65 million
Liquip has been sold to OPW

 

Diversified trucking operator McAleese has accelerated its readjustment with the sale of Liquip.

OPW, part of US firm Dover Corporation, picked up the fuels and fluids services and equipment firm for $65 million.

An OPW spokesman says the company is yet to finalise the deal and would likely comment later.

McAleese expects formalities to conclude by mid-month and $45 million to be added to its annual bottom line.

Its full divestment program, including Cootes Transport and Heavy Haulage & Lifting equipment is expected to raise more than $95 million, about 20 per cent more than it last advised.

McAleese confirmed earlier earnings before  interest, tax, depreciation and amortisation (EBITDA) projections for the three months to July were in line at $90-$95 million, which is double that of the previous three months, while full year EBITDA would be closer to upper end of the$82-$85 million guidance range.

"These results come as overall business performance is stabilised and improvement initiatives announced by the company on 2 June are successfully executed," it says.

Revenues were expected to be about $760 million including two months trading by recent purchase WA Freight Group.

"As each of our businesses stabilise, we have begun to turn our attention to the next phase, to diversify and de-risk our business and consider new opportunities in the transport and logistics landscape to ensure McAleesse Group remains robust into the future," managing director and CEO Mark Rowsthorn states.

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