Air-compressor maker Elgi Equipments today announced that it has acquired a 100 per cent shareholding of Sydney-headquartered F R Pulford and Son Pty Ltd for 11.04 million (Australian Dollars), about Rs 56 crore, in an “all cash deal.”
The acquisition was completed yesterday, Coimbatore-based Elgi Equipments said in a company statement. F R Pulford and Son Pty Ltd and its subsidiary, Advanced Air Compressors, operating as ‘Pulford Air and Gas’ in Sydney is engaged in distribution of industrial compressors. The company registered an annual turnover of AUD 18 million in 2017-18.
The strategic acquisition by ELGi is a step towards expanding its footprint in Australia. “The total acquisition cost is approximately Australian Dollars 11.04 million - upfront cash consideration”, the statement said, adding ELGi would gain 100 per cent shareholding of Pulford following the deal.
Commenting on the acquisition, ELGi Equipments, Managing Director, Jairam Varadaraj said, “Today is a momentous day in ElGi’s and Pulford’s history. It is the integration of two customer-centric organisations with the intent of gaining a leadership position in the Australian compressed air market.”
“Pulford embodies market leadership through decades of customer-centricity. All of us at ELGi are humbled by Pulford’s legacy in the Australian market and we are honoured by the role ELGi will play in its growth,” he said.
Pulford Air and Gas, Managing Director, Tom Fyfe said, “today marks a great opportunity for Pulford to take a further leap in the Australian air compressor market with the acquisition by ELGi worldwide.”
“We are all very excited about the growth opportunities with the products, we know this is a big step forward for both companies that secures Pulford as a major player in the Australian compressed air market,” he said.
Pulford was engaged in distribution of industrial air compressors, gas generation equipment and air filtration products. In 2015, the company acquired Advanced Air Compressors, making it as the largest independent air compressor and gas generation company in Australia, the release added.