Announced Wed, 3 Jun · 15:45 IST

Announcement under Regulation 30 (LODR)-Updates on Acquisition

Listed Co AcquisitionStrategic Transactions View source PDF

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AI summary

Monarch Surveyors and Engineering Consultants has signed a binding agreement to acquire 100% of GM & FE Ryan Pty Ltd and the GMR Engineering Services Unit Trust in Australia, gaining full ownership and control. Total consideration is around AUD $1.74 million — AUD $1.5 million for business goodwill plus AUD $241,140 for plant and equipment — entirely in cash, funded from internal accruals post-IPO or a bank term loan, with no use of IPO proceeds. The target is a 20-year-old Australian engineering consulting firm with 12 employees, debt-free books, AUD $1.8 million in FY2025 revenue, and 80% client retention. Completion is targeted for June 30, 2026, subject to RBI/ODI approvals and due diligence. The acquisition gives Monarch direct entry into the Australian engineering market and access to 7 government procurement panels.

Likely market impact

This is a small but strategically meaningful international expansion into Australia, aligning with Monarch's core engineering and surveying business. Shareholders should note the deal is modestly sized relative to the target's revenue, fully cash-funded without dilution, and could add roughly AUD $1.76–1.84 million to FY2026 revenue — supportive but not transformative in the near term.