HHA branding to remain front and centre under new partnership with McAleese

By: Michael Cahill


HHA to retain branding, management team and company culture after McAleese partnership.

HHA branding to remain front and centre under new partnership with McAleese
Extra gear: HHA managing director Jon Kelly says the partnership with McAleese will help HHA grow its capabilities.

 

Heavy Haulage Australia (HHA) managing director Jon Kelly says that McAleese Heavy Haulage and HHA will continue to operate as separate business units despite McAleese purchasing a 50 per cent stake in the company last week.

Kelly says that the transaction will strengthen the HHA brand and that the sharing of assets will enable both companies to grow.

"The HHA brand is very strong in certain areas with certain demographics, the last thing we would want to do is lose our advantage of our branding in certain markets," Kelly says.

Kelly says that HHA and McAleese’s heavy haulage division have historically run complementary businesses that have strengths in different locations, but that there is a possibility of integrating the brands in some instances for the sake of efficiency.

"HHA and McAleese never really crossed swords on bidding projects," Kelly adds.

"Where there is an overlap we have to be rational about that and look at either absorbing or combining forces."

Kelly says that the transaction will give HHA the extra capital that it requires, and that the company’s capabilities have increased significantly since the acquisition.

"We are starving for additional capital to keep up with our growth … For us to go from fourth into fifth gear and keep our race pace, we have to call on some additional help via capital," Kelly adds.

Along with offering strong long-term contracts in the infield oil and gas sectors, Kelly hopes that HHA can bring a strong company culture to McAleese.

 "I’m hoping that our culture and our quality will cross-pollinate to our cousins at McAleese.  I’m hoping they embrace it. McAleese are a very long standing heavy haulage provider and I remember them being the absolute pinnacle when I was a kid growing up," Kelly says.

"If we can get that culture back in the business and put the firepower of [McAleese managing director and CEO] Mark Rowsthorne’s success and my drive together, it will be a sensational environment and a sensational logistics company that can provide so much."

McAleese announced last week it would pay $3 million for a 50 per cent share of HHA, with the option for a full takeover in two to five years.

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