Schultz Partners negotiates acquisition of STACE Pty Ltd by ASX listed company, Essa Australia Ltd.

Schultz Partners has successfully negotiated the sale of a specialist engineering company, STACE Pty Ltd to Essa Australia Limited. Based in the Perth suburb of Bassendean, Essa was listed on the ASX in 2005 and is a leading supplier of mineral ore sampling technology to the mining industry throughout the world.

Schultz Partners responded to an enquiry by STACE Pty Ltd and quickly realised that it was a quality company specializing in the servicing of critical equipment used in maritime defence and in the fabrication, testing and installation of natural gas piping systems for gas powered electricity generation applications.

The challenge for Schultz Partners was to find a synergistic purchaser who recognised the unique management and technical skills possessed by the staff of STACE. It was the certification, testing and servicing systems that STACE use to certify the safe operation of breathing apparatus, high pressure fluid valving and piping systems and weapons firing systems, and the adoption of quality assurance as a primary culture by the staff that appealed to Essa.

Essa are very focussed on accuracy and quality in the equipment they supply, install, calibrate and service. The mining industry depends on the certified measurement of quantities and ore grades for the assurance of revenue.

Schultz Partners as specialists in mergers and acquisitions and were able to convey the unique nature of the business and its strategic value to ESSA and attract their full attention to start the purchase process.

Announcing the acquisition to the Australian Stock Exchange, Essa Australia said” This is a strategic acquisition for Essa, allowing both diversification into new markets and affording additional product offerings to Essa’s mining and energy clients."

The result was a very satisfactory outcome for seller and buyer and for the staff of STACE who have proven they can manage the business without the founder who is now relaxing and enjoying a change away from the daily pressures of running a successful business.