Southern Cross Electrical Engineering Limited · ASX:SXE
Southern Cross Electrical Engineering — Investor Presentation (March 2025)
18 slides from Southern Cross Electrical Engineering's investor presentation, Mar 31, 2025
Slide 1: Investor Presentation - Acquisition of Force Fire Holdings Pty Ltd
Investor Presentation - Acquisition of Force Fire Holdings Pty Ltd 31 March 2025
Slide 2: Introduction to SCEE
Introduction to SCEE Leading national electrical, instrumentation, …built by design through operational excellence and a communications, security, fire, and maintenance disciplined M&A strategy group… Historically focused on resources and industrial work, but now also diversified into infrastructure
Slide 3: Acquisition overview and strategic rationale
Acquisition overview and strategic rationale 3
Slide 4: Acquisition overview
Acquisition overview • SCEE has entered into a Share Purchase Agreement to acquire 100% of Force Fire Holdings Pty Ltd (“Force Fire”) for consideration of up to $53.5m on a cash-free debt-free basis made up as follows: – $36.3m cash payable to all vendors (Anacacia's private equity fund 54.6%, other
Slide 5: Acquisition overview (continued)
Acquisition overview (continued) • Expansion into highly attractive fire safety solutions market is a natural adjacency to SCEE’s current capabilities and provides a platform into broader non-discretionary technical building services • The business significantly enhances SCEE’s ability to address op
Slide 6: Strategic rationale
Strategic rationale The acquisition of Force Fire is consistent with SCEE’s strategy to add adjacent and complementary capabilities, and increase exposure to services and maintenance style works and recurring revenues SCEE’s core electrical competence is complemented by its communications, security
Slide 7: Overview of Force Fire
Overview of Force Fire 7
Slide 8: Overview of Force Fire
Overview of Force Fire Force Fire is a leading provider of critical, mandated and non-deferrable fire safety solutions with a 25-year track record of delivery Business Overview Highlights Attractive non-discretionary, Capital-light operating model critical technical services Force Fire represents on
Slide 9: Diversified revenue profile
Diversified revenue profile Force Fire has a diverse revenue mix across projects, minor works and maintenance/services work with a high level of repeat clients FY24A Projects Revenue by Sector (1) FY24A Revenue by Type (2) Other Maintenance 13% Industrial 15% Projects buildings • Diversified end mar
Slide 10: Comprehensive capabilities suite
Comprehensive capabilities suite Force Fire delivers fire safety solutions across projects, minor works and maintenance/services capabilities Projects and Minor Works Snapshot of Past & Current Projects • Projects involve design and installation services for a broad range of fire detection Electrica
Slide 11: Strong executive team
Strong executive team Force Fire is led by a highly experienced executive team who will remain with the business following acquisition Michael Dirckze Bryan Starkey Paul Richetti Chief Executive Officer Chief Financial Officer Director • Joined Force Fire in 2020 • Joined Force Fire in 2018 • Founde
Slide 12: Fire safety market outlook
Fire safety market outlook Fire protection solutions are a critical and non-discretionary technical service offering poised to benefit from long- term macroeconomic and regulatory tailwinds Long-term demand for Fire Solutions (A$bn)(1) Attractive Industry Dynamics CAGR ~2.1% 4.2 4.3 Australia’s stro
Slide 13: Combined Group profile
Combined Group profile 13
Slide 14: Increased sector and geographic diversification
Increased sector and geographic diversification A combination with Force Fire strengthens SCEE’s exposure to the attractive commercial and industrial buildings sector while also building immediate scale in a naturally adjacent and aligned capability FY24A SCEE Standalone FY24A Pro Forma Combined Gro
Slide 15: Combined opportunities with SCEE
Combined opportunities with SCEE This acquisition is likely to generate significant benefits for SCEE • Cross-selling opportunities to provide fire safety solutions to SCEE’s existing client base and vice versa • Potential to leverage SCEE’s relationships and established processes to drive efficienc
Slide 16: Appendix
Appendix 16
Slide 17: Appendix - detailed transaction terms
Appendix - detailed transaction terms • Acquisition of 100% of Force Fire Holdings Pty Ltd Acquisition • Due diligence finalised • Completion is expected to occur on 1 April 2025 Up to a total of $53.5m payable on a cash-free debt-free basis as follows: 1. Upfront Cash Consideration (payable to all
Slide 18: Disclaimer
Disclaimer Some of the information contained in this presentation contains “forward-looking statements” which may not directly or exclusively relate to historical facts. These forward-looking statements reflect the current intentions, plans, expectations, assumptions and beliefs of Southern Cross El
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