Sime Darby’s acquisition of Salmon Earthmoving Holdings will strengthen the company’s existing industrial business, says HLIB
Sime Darby Bhd’s acquisition of Salmon Earthmoving Holdings Pty Ltd (SEH) is expected to complement and strengthen the company’s existing industrial business in Australia, according to the analyst.
Hong Leong Investment Bank (HLIB) Research said the acquisition would allow Sime Darby to expand its market into the civil construction sector and the New South Wales region.
Currently, Sime Darby focuses more on the Queensland region. “Sime Darby will continue to look out for more pockets of acquisitions to complement and enhance its core segments, i.e. industrial and motor business in existing geographical regions,” it said. Sime Darby is acquiring Salmon Australia for RM327 million, which will be completed by August 2021.
