Gamuda's continued expansion in Australia reached another important milestone today with the completed purchase of Downer EDI's Australian transport projects business.
DT Infrastructure Pty Ltd (DTI) will operate standalone within the Gamuda group of companies, alongside Gamuda Engineering (GEA) in the Australian market.
Over 1,100 staff and a forecast work in hand of approximately $2 billion are transferring to DTI as part of the AU$212 million sale.
The significant addition of people and capabilities will provide a unique offering by the Gamuda group of companies in the Australian contracting market. The combination of global expertise with local experience will be underpinned by engineering innovation, collaborative contracting and leading sustainability practices.
DTI's established rail capability will be enhanced by Gamuda's Asia-Pacific expertise, which has delivered turnkey metro rail projects including the Klang Valley Mass Rapid Transit lines (KVMRT). Over the last 12 years Gamuda has constructed two end-to-end KVMRT lines, including over 100km of metro rail track and 65 new stations in Kuala Lumpur.
DTI will be led by experienced infrastructure executive Mark Mackay, supported by his existing senior team.
"Our team has built a strong reputation delivering complex infrastructure for clients over the last decade," said Chief Executive Officer of DT Infrastructure, Mark Mackay.
"Continuing as a leading delivery partner in complex infrastructure is the focus for the business. Our vision as DTI is to create reliable, safe and sustainable solutions that unlock opportunities for our people and customers.
"We are working closely with our clients, partners and suppliers to ensure continuity for projects under delivery. Gamuda's global strength unlocks a wider range of projects for the business to pursue into the future.
"This is an exciting time for DT Infrastructure. Our 1,100 strong team is moving forward with certainty and optimism," added Mr Mackay.
Ewan Yee, Executive Director Gamuda Engineering Australia, said the synergies between the two companies will provide a unique offering for clients.
"The addition of further rail and transport capability in Australia helps unlock Gamuda's international experience and innovation as a turnkey infrastructure provider," said Mr Yee.
"There's a strong alignment between the businesses in terms of culture and values. Maintaining our approach to collaborative contracting, striving for engineering innovation and putting sustainability at the heart of project delivery will produce great outcomes for our customers and local communities.
"Gamuda has ambition to grow the volume and types of projects we deliver in Australia. This strategic purchase accelerates our growth plans and improves our competitiveness across a wider range of transport and infrastructure work," added Mr Yee.
Announcement of the transaction completion have been made to the ASX and Bursa Malaysia. The transaction is approved by the Australian Foreign Investment Review Board.
Whilst the parties have satisfied the majority of the sale conditions, there remains one customer consent outstanding at the time of completion. These contracts will remain with Downer until the consents are received, which is expected by 31 July 2023.
