Millennium Services Group (ASX:MIL) today advises that further to its announcement of 21 October 2016, it has now completed the acquisition of the Airlite Group for $25.1 million1.
Ross Gavranich, Executive Chairman of Airlite Group, will now join the Millennium Services Group Board. Ross is a veteran of the facility services industry and brings over 30 years of experience to the Board. Ross has been Executive Chairman of Airlite Group since 2012, following senior management roles at Airlite in operations and marketing.
Airlite is a leading provider of cleaning and integrated services in Western Australia, with satellite offices in Sydney, Melbourne and the Gold Coast, offering a responsive and comprehensive service to its blue-chip client base.
Established in Perth in 1967, Airlite originally provided cleaning services to the commercial property sector. Following 50 years of growth, expansion and diversification, Airlite today employs approximately 1,500 people and provides specialist cleaning, maintenance and integrated services to a broad range of clients, sectors and premises types, from small to large facilities.
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1 $25.1 million cash, plus the right for a further earn out of 4 times the amount that Airlite’s 2017 Earn Out EBITDA exceeds $6.25 million.
Millennium Services Group Limited | ABN 11 607 926 787
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Millennium to acquire Airlite Group
21 October 2016
- MIL enters into a binding agreement to acquire 100% of Airlite Group (“Airlite”) for cash consideration of $25.1 million
- The acquisition will be funded through a $42 million consolidated debt facility package finalised with ANZ Bank
- Airlite is a leading provider of cleaning, maintenance and integrated services in Western Australia
- Airlite gives MIL a national footprint, a broader service offering and increased competitiveness with clients that have national portfolios
- The acquisition is expected to be immediately EPS accretiveMillennium Services Group (ASX:MIL) today announces that it has entered into a binding agreement to acquire 100% of the Airlite Group (“Airlite”) for $25.1 million1. The acquisition price represents an indicative multiple of approximately five times Airlite’s 2016 audited EBITDA and approximately 4 times Airlite’s anticipated 2017 pro- forma EBITDA. The acquisition of Airlite is expected to be immediately EPS accretive and completion is expected to occur imminently, subject to several conditions precedent.
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