UK-based engineering firm Weir has entered a binding settlement to amass Micromine, a worldwide mining software program supplier based mostly in Australia, for an enterprise worth of £657m ($830.75m).
The acquisition will improve Weir’s digital mining options and assist its development technique.
Micromine affords complete options throughout the upstream mining worth chain. Its software program options assist key mining processes together with exploration, mine design, mine planning, operational scheduling and mining actions throughout laborious ore, smooth ore and underground functions.
The corporate has skilled a compound annual development fee of 25% over the previous few years, with 2025 calendar 12 months revenues anticipated to succeed in roughly £68m.
Micromine’s success is attributed to its recurring software-as-a-service subscription earnings, which accounts for about 90% of the corporate’s income.
Publish-acquisition, Weir plans to initially function Micromine independently whereas externally reporting below its ESCO Division.
Over time, Weir intends to combine Micromine with its MOTION METRICS and NEXT clever options, forming a unified digital optimisation platform.
Kristen Walsh, the present managing director of the Weir Minerals Division APAC area, will lead the enterprise and report back to Weir CEO Jon Stanton, with Micromine CEO Andrew Birch offering advisory assist for as much as 12 months post-acquisition.
The transaction is ready to be accomplished within the second quarter of 2025 (Q2 2025), pending approval by the Overseas Funding Evaluate Board of Australia.
Stanton stated: “The acquisition of Micromine is a major step in our technique of investing in know-how to speed up sensible, environment friendly and sustainable mining. The mixed drive of Micromine and Weir will create a sector-leading, globally scaled platform to optimise efficiency throughout the mining course of.
“In Micromine, we’re including a longtime, high-quality enterprise and confirmed performer that’s complementary to Weir’s aftermarket-focused enterprise mannequin and present digital options. This acquisition gives a compelling alternative for robust worth creation within the speedy and long term.”
Weir’s acquisition of Micromine at a income a number of of roughly ten-times December 2025 income and an earnings earlier than curiosity, taxes, depreciation and amortisation (EBITDA) a number of of round 20 instances, excluding synergies, is anticipated to be accretive to the corporate’s income development and working margin profile.
The deal is anticipated to be earnings-per-share accretive within the first full 12 months of possession, with return on invested capital anticipated to exceed the weighted common price of capital by 2028.