Engineering services provider Tasmea to purchase electrical contractor for $254m

Tasmea, a provider of specialised trade skilled services to the mining, resources and industrial sectors, has executed a Share Purchase Agreement to acquire 100% of Maxim Group Australia Pty Ltd and its wholly-owned subsidiaries for a total consideration of up to A$254 million.

These subsidiaries comprise of Maxim Electrical Services, Maxim Infrastructure and Maxim Management Group.

Maxim Group is a specialist electrical contractor headquartered in Victoria, with a focus on the data centres, major government infrastructure and Battery Energy Storage System (BESS) and renewable energy markets.

The company has delivered over 450 projects, employs approximately 600 full-time staff - including a cohort of HV-accredited and rail-inducted specialists - and  is currently active on approximately 30 projects across its core end-markets.

Tasmea owns 26 businesses that comprise the Tasmea Group. Collectively, these businesses provide specialist maintenance services to asset and infrastructure owners of fixed plant operating in essential Australian industries, including essential shutdown, programmed maintenance, emergency breakdown and sustaining capital upgrade services.

The Tasmea Group operates from Perth and has offices in each mainland state, including a number of regional centres throughout Australia. 

Maxim has a multi-year track record delivering data centre projects for one of Australia's largest DC operators, with over seven years of forward pipeline visibility in Victoria.

Maxim's Melbourne head office also establishes a Tasmea presence in Victoria, with cross-sell opportunities for Tasmea's broader specialist services (Electrical, Mechanical, Civil, Water & Fluid) and a national platform to service Maxim's clients across other regions, including NSW, WA and SA.

Tasmea will retain Maxim’s owner-led business model, with the ME, estimating director, infrastructure director and operations manager retained on long term employment contracts. 

The total consideration of up to A$254 million is comprised of approximately A$112 million in cash at settlement (before customary purchase price adjustments), funded through Tasmea's existing cash reserves and debt facility draw downs.

The deal also includes A$72 million in Tasmea scrip (12 million new TEA shares issued to vendors at A$6 per share), with a Floor Price Guarantee of A$6.00 to 30 June 2027.

Three cash earn-out payments of up to approximately A$23.33 million each (up to A$70 million total), payable 30 September 2027, 2028 and 2029, subject to Maxim achieving Maintainable EBIT of A$50 million in each of FY27, FY28 and FY29, is also structured into the deal.

The acquisition is forecast to be immediately earnings per share (EPS) accretive, with approximately 31% forecast pro forma EPS accretion in FY26e (ex-synergies) assuming full 12-month ownership of Maxim in FY26e.

Maxim's forecast FY26e underlying EBIT is approximately A$47 million. The business has delivered organic revenue growth of approximately 70% CAGR from FY24A to FY26e and has a strong organic growth outlook supported by an identified pipeline in excess of A$1.3 billion.

“The acquisition of Maxim Group is a defining step in Tasmea’s programmatic growth strategy and establishes Tasmea as a leading national specialist electrical platform exposed to the highest-growth structural markets in the Australian economy," Tasmea MD Stephen Young said.

“Maxim is a high-quality, owner-led business with deep customer relationships, a multi-year visible pipeline of more than A$1.3 billion, strong electrical credentials in Data Centre projects and one of Victoria’s largest rail-inducted specialist electrical workforces. Combining Maxim with Tasmea, the Tasmea Group is forecast to deliver approximately A$100 million of Electrical EBIT post-completion and an expected ~31% pro forma EPS accretion in FY26e.”

“Critically, the acquisition preserves the owner-led model that has built Tasmea and Maxim. Maxim’s leadership team is staying with the business, taking equity in Tasmea, and is incentivised through a three-year earn-out aligned to the delivery of A$50 million of Maintainable EBIT per annum. We are delighted to welcome the Maxim team to Tasmea and look forward to supporting their continued growth through our corporate services platform and broader specialist trades capability.”

“The decision to sell is a complex one, but selecting Tasmea as the preferred party was straightforward given the alignment in culture and a shared commitment to how the business should operate," Maxim Group MD Paul Murray.

"This allows us to retain our brand and leadership team and continue running the business as usual, supported by Tasmea’s balance sheet, workforce capability and corporate services.”

Settlement is targeted on or around 1 July 2026, subject to the satisfaction of customary conditions precedent, including obtaining ACCC approval to proceed under Australia’s new mandatory merger control regime.