BESIX Group Confirms Its Expansion Strategy in Australia

After a major contract was awarded to the Group in January 2012 in the marine works sector, BESIX Group has signed a memorandum of understanding with WATPAC to join efforts in future construction and civil engineering projects.

To support this collaboration, BESIX Group will acquire a 15% stake in the equity of WATPAC in an off-market transaction with WATPAC’s major shareholder and former Chairman, Mr. K.W. Seymour.

BESIX Group entered the Australian marine works market in 2012 as part of a joint venture with THIESS to deliver construction works on the major 420m long quay wall and 960m long breakwater for the Chevron Wheatstone LNG project in Western Australia.

To further develop its local presence in Australia, BESIX Group opened a subsidiary in Perth and seconded senior staff and engineers to Australia.

Last November, BESIX Group joined the Belgian Crown Prince’s visit to Australia, which confirmed the continued development of the country and the opportunities in infrastructure and construction.

In 2013 BESIX Group is embarking or a new step in its Australian expansion strategy with a focus on major construction, civil engineering and mining projects.

To enable this expansion to occur, BESIX Group and Australian contracting group WATPAC have signed a collaboration agreement to identify opportunities to work together in the other construction sectors.

Established in 1983, WATPAC is a national construction, mining services and property development group listed on the Australian Securities Exchange and headquartered in Brisbane, Queensland.

At the end of its financial year on June 30, 2012, WATPAC reached a consolidated turnover of 1,35 billion AUD and is recognized as a reliable contractor with a strong brand in the Australian market. The company is well positioned to continue to grow its project portfolio in the construction and mining services sectors, which are major market segments in Australia’s resource- focused economy.

To support the collaboration with WATPAC, BESIX Group intends to acquire on an off-market basis the 15% stake that is currently owned by former WATPAC Chairman, Mr. K. W. Seymour.

This investment will create a long-term collaboration with WATPAC, substituting the support previously provided by Mr. K. W. Seymour, in the best interest of WATPAC.

Mr. Seymour has been a member of the WATPAC Board for the past 17 years and has overseen the fastest growth and diversification in the company’s 30-year history. His agreement to sell his stake in the company to BESIX Group signifies his confidence in the future success of the collaboration between the two companies in Australia.

BESIX Group and Mr. Seymour are initiating now the preliminary statutory and regulatory steps to proceed with the intended transfer, in full agreement with the WATPAC Board and management.

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LNG World News Staff, April 15, 2013; Image: BESIX