Monadelphous Group Limited (ASX:MND) entered into an agreement to acquire BMC Welding & Construction Pty. Ltd. for AUD 22 million on May 17, 2023. Monadelphous will make an initial cash payment of AUD 22 million followed by a purchase price adjustment in accordance with the final net working capital position at completion.

The acquisition of BMC is a key enabler to Monadelphous' strategic efforts in developing its presence in the east coast-based energy generation, transmission and storage market, supporting Australia's transition to clean energy. BMC's geographical location further strengthens Monadelphous' position as a maintenance services provider to the growing offshore oil and gas decommissioning sector on the east coast of Australia. The transaction is subject to the satisfaction of a number of conditions precedent usual in transactions of this nature.

The transaction is expected to close by the end of this financial year.