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CORPORATE
Recognising the growing significance of Asia-Pacific to United States and Australian defence forces, Austal has entered into agreements to substantially expand its capability in Darwin, Australia, through the acquisition of Hydraulink NT and its associated business KM Engineering (HKME).
HKME is a leading engineering service provider in northern Australia with well-established operations supporting the Royal Australian Navy (RAN) and Australian Custom’s and Border Protection Service. HKME also has strong relationships with oil and gas sector participants.
As part of the transaction, Austal’s existing operations in Darwin will merge with HKME. Austal will acquire an 80 per cent stake in the resulting business for A$8 million split between cash and restricted equity, with further deferred entitlements of up to A$2 million available to the vendors subject to satisfaction of agreed performancebased conditions.