Shannon-based Mincon eyeing more buys after Canadian acquisition

Shannon-based engineering and drilling equipment maker Mincon is actively seeking further acquisitions after buying Canadian distribution business Pacific Bit for an undisclosed sum.

It marks the Irish company's first acquisition since last March, when it acquired South African company Driconeq.

Pacific Bit distributes mining and construction products in western Canada, is profitable and generated revenues of around Can$5.5m (€3.6m) last year.

Mincon already has a manufacturing plant in Ontario, in eastern Canada through its acquisition of local company Rotacan five years ago, and this acquisition ups its direct presence in the country.

It said it is "prepared to discuss acquisition, partnership and investment with other businesses in sustainable geographic territories and relationships," for key and ancillary products.

On making further acquisitions, Mincon's chief executive Joe Purcell said "if we need to, we will".

He said management is eyeing both product makers and distribution companies, but is not targeting any specific geographies.

"The acquisition of Pacific Bit will expand the reach of the group into the western part of [Canada] and create another leg for organic growth to continue," said Davy analyst Colin Sheridan.

"The ongoing business is progressing well and the group will have the ability to expand into new regions with [this] bolt-on acquisition. Mincon will be able to grow sales into western Canada following the acquisition, an area where the group has not been strongly present previously," he said.

Mincon's shares - up nearly 10% in the past 12 months - rose marginally on its latest deal news.

More on this topic

Wrike happy it chose thriving Irish hub

Reports show that everyone wins in two-way US-Irish relationship

CUBS conference: Graduates urged to be respectful online

Online giants threat to retail banking model, CUBS conference hears

More in this Section

Applegreen has €50m to fuel growth on expansion

McDonalds appeals 'Big Mac' ruling - Supermacs boss McDonagh calls it a 'delaying tactic'

Fast food chain, LEON, announces 20 restaurants for Ireland, creating 600 jobs

CEO of Galway Harbour Company resolves action against employer


Debate: Should you drink in front of your children?

Interiors profile: Senior Designer at DFS Rob Ellis

Are you drinking out of the right wine glass?

Tempted to renovate your home? TV’s Kunle Barker shares 4 top tips for getting started

More From The Irish Examiner