Mining equipment rental company Emeco has completed a recapitalisation and three-way merger with Orionstone and Andy’s Earthmovers.
According to Emeco, the transaction significantly deleverages the company, while a new senior secured notes and revolving credit facility provides financial flexibility to generate cash for debt reduction.
Emeco managing director Ian Testrow said the company now has approximately 730 machines in its fleet following the mergers and a leading market position from which to benefit from the improving market conditions.
“Emeco will use its enhanced fleet capabilities and innovative technological platforms to carry on adding value for its customers through increasing productivity and reducing costs,” Testrow said.
“I am confident that together we will continue Emeco’s transformation through our focus on operational excellence, innovation and delivering customers with creative solutions to help them unlock value in their business.”
Perth-based Emeco is also completing a $20 million raising, which it launched on March 21. The offer will close on April 10.