Scheme of Arrangement with Altrad

July 2021

On 19 July 2021, Valmec Limited (“Valmec”) and Altrad Australia Pty Ltd (“Altrad”) have entered into a Scheme Implementation Deed, under which Altrad intends to acquire Valmec by way of a Scheme of Arrangement ("Scheme"). The Scheme implies an equity value for Valmec of ~A$52.0 million (on a 100% basis) with Valmec Shareholders to receive A$0.413 per share in cash.

Valmec is a specialist contractor, providing in-house and niche end-to-end solutions covering design, construction, operations and maintenance services to the energy, resources and infrastructure sectors. The Company’s purpose is to deliver value through the asset lifecycle with a vision to be the most trusted specialist services group in the delivery of key projects, operations and maintenance services.

Altrad is a global leader in industrial maintenance services, delivering high value-add services to clients in multiple sectors, including Oil & Gas, Energy, Power Generation, Process, Environment and Construction. Privately owned and headquartered in France, Altrad employs around 36,000 people globally including approximately 1000 across Australia.

The Scheme is unanimously supported by the Board of Valmec, along with statements of intent to vote in favour of the Scheme from two major Valmec shareholders. The transaction is subject to customary conditions including approval being obtained from Valmec Shareholders and the Shareholder meeting is expected to be held in October 2021.

Azure Capital acted as financial adviser to Valmec on the transaction.