AWF acquisition provides entry to mining sector

AWF acquisition provides entry to the mining sector

Allied Work Force Group has acquired a majority interest in a Waihi-based labour provider and will form a new subsidiary, AWF Mourant Ltd, with the present owner.

The existing operations, centred in Waihi, have provided skilled labour to the mining sector for the past 10 years and it is AWF’s intention to enhance the services being offered while developing the business to form the nucleus of a new Hauraki/Coromandel region operation.

AWF CEO Mike Huddleston said AWF was acquiring a 75 per cent interest in a “strong and profitable local operation”.

“We see opportunities to provide our national expertise in the further development of the business, while we clearly have something to gain by strengthening our involvement in the growing mining sector,” he said.

Mr Huddleston said the vendor, David Croker, had excellent skills and experience which he would bring to the new business while AWF would assist him to develop the existing relationships and expand the business.

“We see an opportunity to enhance employment prospects for quality local labour within and outside of mining in the region.”

Settlement of the acquisition, which will be immediately earning accretive, will occur on 30 September.

Current trading conditions mean AWF continues on track to achieve a result more than twice the result achieved for the same period last year, as was indicated by managing director Simon Hull at the annual meeting.

ENDS

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