Mark Vender
Beijer Ref has signed an agreement to acquire 51 per cent of the shares in the Australian wholesaler AAD (Australian Airconditioning Distributors) and Australian HVAC&R solution and service provider HVAC Consolidated, with the option to acquire the remaining shares.
According to Beijer Ref, during the 2021/22 financial year, AAD and HVAC Consolidated had a combined turnover of approximately AU$110 million with “good profitability”. Sellers of AAD and HVAC Consolidated, and holders of the remaining 49 per cent in each company, are Aircon Concepts and Coldflow Airconditioning. Completion of the transaction is expected to take place on November 1, 2022.
AAD and HVAC Consolidated are based in Melbourne, Australia, with AAD having geographical coverage across Victoria, NSW and South Australia. Together the companies have established relationships with international manufacturers within air conditioning, as well as a broad product portfolio with the AAD brand. Beijer Ref says its aim is for the three companies to expand their current combined product portfolio and create synergies within purchasing.
AAD will continue to operate under its own brand, in both distribution and marketing. AAD and HVAC Consolidated have about 125 employees.
”The acquisition of AAD and HVAC Consolidated aligns with our growth strategy and complements our existing offering in Australia well,” says Beijer Ref CEO Christopher Norbye.
“AAD has very good conditions for continued strong growth, and we look forward to developing the companies together with the existing owners.”
The purchase price, for 51 per cent of the shares, amounts to about AU$66 million on a debt-free basis. The acquisition was financed via cash and existing credit facilities.
Image courtesy of AAD.
Leave a Reply