..... “Coming in as a White Knight to a damsel in distress is going to make it easier to get the support of RCR employees than would have been the case if NWH were an unwelcome corporate raider.”......
Possibly more than just the employees will be thrilled .
The Sydney Morning Herald is touting NRW as an Australian hero
(Which it is !)
This is RXCELLENT publicity for the company!
The RCR Tomlinson carve-up continues after WA mining and civil contractor NRW announced it would purchase the collapsed engineering firm's mining and heat treatment businesses for $10 million.
NRW said the successful sale of these businesses, representing the majority of RCR’s WA operations in Bunbury and Welshpool, preserved the jobs and entitlements of about 300 employees.
NRW MD and CEO Jules Pemberton.CREDITHOTO BOHDAN WARCHOMIJ
The contractor is confident of its purchase; together the divisions generated $110 million of revenue last financial year and NRW said they have a track record of delivering positive earnings.
The management, design, manufacturing, service and maintenance teams will join NRW providing customer and supplier continuity.
RCR's administrators have already announced the sale of RCR O’Donnell Griffin’s rail business to John Holland and RCR's energy services business to The Environmental Group.
NRW managing director and chief executive Jules Pemberton said the acquisition would allow them to provide incremental services to a number of core clients common to both NRW and the RCR businesses to be acquired.
"In addition, the activities of mining technologies and heat treatment will provide a platform to continue to build a broader service offering across an expanded resources and oil and gas client base," he said.
"The intention is to integrate the acquisition, including all 280 employees as quickly as possible with minimum disruption to clients.”
NRW chief financial officer Andrew Walsh spent four years as CFO at RCR Tomlinson up to
November 2013 and said he was familiar with the mining technologies and heat treatment businesses, as well as the long-serving management team led by Ian Gibbs.
These businesses provide complementary services to the existing NRW model,” he said.
Perth-based administrator and McGrathNicol partner Rob Brauer said the sales were a great
outcome and secured the future of much of the original RCR Tomlinson business, established more than 100 years ago.
"The sale ensures the RCR name remains prominent in the WA market and provides continuity for RCR customers, as they will continue to be serviced by the same expert RCR teams,” he said.
RCR collapsed late last year under costs associated with its push into solar energy.
NRW shares jumped 6 cents on Thursday to close at $1.92.”
(20min delay)
