Vysarn strikes $60M deal for Welltech Total Water Management
- Vysarn has agreed to buy water management firm Welltech Total Water Management for $60 million.
- The transaction is funded by a fully underwritten $1.05 per share.
- The company stated that the acquisitions are intended to deliver stable, long-term earnings growth for shareholders.
Water services provider Vysarn (ASX:VYS) executed an agreement to acquire Welltech Total Water Management for $60 million.
The purchase marks the corporate group's second acquisition within a six-week window following a separate $25 million agreement to buy NewGround Water Services.
"The acquisitions would give us a broadened and more diverse portfolio of high-quality clients, positioning us to deliver additional stable, long-term earnings growth for shareholders," said Vysarn CEO James Clement.
Under the transaction terms, the business is paying $12.8 million in shares upon completion, alongside an additional $10 million payable if earnings targets are met over the next three years.
Following the announcement, the Vysarn share price was unchanged at $1.06.
The combined acquisitions will lift the group's revenue by 60% to more than $33.2 million for the 2026 financial year.
The target company primarily provides temporary water transfer, storage, and pumping systems alongside sewerage bypass services to major utilities and resources sector clients.
