Infrastructure solutions provider Nexus has announced the acquisition of civil engineering & construction business Coleman Construction & Utilities Limited for £5.38 million.
Coleman delivers civil engineering and building projects in the water, rail, highways and rivers & marine sectors.
Nexus seeks to enter new sectors through the acquisition which it claims represents ‘compelling strategic fit’ for the group.
The move coincides with the group’s trading update which revealed revenue for the year ended 30 September 2024 had risen 23 per cent to £52 million.
The group hopes Coleman will provide future growth opportunities outside of the Group’s current core sector of residential house building.
Established in 2000 by Barry Coleman, the business offers services in sectors critical to the UK’s national infrastructure, driven by climate change, environment protection, shifts in societal needs, and improvements to energy security.
Coleman has also built a reputation for ‘quality of service and customer satisfaction’, and Nexus aims to support the business as it enhances and expands its operations.
Coleman has achieved continued revenue growth while maintaining stable gross profit and EBITDA margins.
For the year ended 31 March 2024, it reported revenues of £8.3 million and Adjusted EBITDA of £0.7 million.
Nexus will pay £3.08 million on a cash and debt free basis, plus a further amount of c.£1.00 million, subject to finalising completion accounts.
In addition, a deferred consideration of £1.30 million (£5.38 million total), will be paid in cash over subject performance over a two-year period.
Charles Sweeney, chief executive of Nexus, said: “The acquisition of Coleman presents an exciting opportunity for Nexus, diversifying into other critical sectors of UK infrastructure, enhancing our service offerings and driving future growth.
“This move enables the Group to benefit from long-term opportunities that are less vulnerable to short-term economic fluctuations.
“Coleman’s established reputation and expertise in water, rail, highways and rivers & marine sectors further strengthens our portfolio and we look forward to welcoming the Coleman team to Nexus.”
Barry Coleman, co-founder and managing director of Coleman said: “Coleman has grown significantly over the years to become a leading civil engineering and construction business.
“Throughout this journey, we have remained committed to the highest standards in health and safety, quality, and customer satisfaction and our success is a testament to our exceptional team.
“Now with the support of Nexus, we are poised to further develop our business, creating new opportunities that will benefit our customers and everyone at Coleman.”
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