Leighton Holdings today announced the purchase of ten Macmahon Holdings construction project has been approved by Macmahon shareholders.
Leighton’s chief executive officer Hamish Tyrwhitt said the bulk of the contracts will transition to the company’s John Holland business brining both volume and scale and allowing it to expand its Northern Territory footprint.
“Following the shareholder approval and the consent of Macmahon clients, which is progressing well, we are planning a seamless transition of the projects,” Tyrwhitt said.
Macmahon chairman Ken Scott-Mackenzie said the strong shareholder vote for the transaction was welcomed.
“The result today is a strong vote of confidence for our new, mining focused strategy and I thank shareholders for their support,” Scott-Mackenzie said.
The sale will now free Macmahon up to pursue its strategy of transforming the company to become a fully fledged mining service company.
“We now look forward to delivering consistent and sustainable returns for our shareholders as a dedicated mining business,” Scott-Mackenzie said.
Not everyone was excited by the results of the Extraordinary General Meeting held yesterday.
South-east Asian based construction company Sembawang who previously have made a number of unusual and unsuccessful offers to take over Macmahon’s construction arm today released a statement saying: “We’ll be back”.
The company blamed Macmahon’s “poor executive management” for construction contracting problems and declared it “could never make an offer to satisfy MAH’s questions – as we were never allowed into the data room”.
Sembawang was not granted access for due diligence as Macmahon had already entered into an agreement with Leighton which required their permission to grant access.