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CIMIC takes lion’s share of Thiess

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CIMIC Group has increased its ownership of mining services company Thiess to 60 per cent.

The acquisition, for a purchase price of $320 million, has increased CIMIC’s share by 10 per cent.

“Increasing our ownership of Thiess strengthens CIMIC’s business profile, as it grows its commodities portfolio to include metals and minerals critical to the world’s shift to zero emissions and develops services to enable sustainable mining, reflecting the strategic importance of the energy transition to CIMIC,” CIMIC Group executive chairman Juan Santamaria said.

“Thiess is a well performing business underpinned by long-term, low-risk contracts, providing an annuity-style income stream and stable cash flows.”

The funds have been advised by Elliott Advisors (UK) Ltd. CIMIC and Elliott will continue to have equal board representation while CIMIC strengthens its governance over the day-to-day operations of the company.

CIMIC will fully consolidate Thiess in its financial accounts, a positive for CIMIC’s credit ratings.

Thiess celebrated 90 years of operations this month, having started as a small farming and roadworks company in rural Australia on April 16, 1934.

The company has since expanded across seven countries and three continents. Based in Brisbane, Thiess currently has more than 15,000 employees.

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