SYDNEY, AUSTRALIA: Johns Lyng Group (ASX: JLG), a provider of property services in Australia and New Zealand, has announced the acquisition of Smoke Alarms Australia (SAA) and Linkfire, two fire and safety services providers, for a total up-front cash consideration of A$61.8m.

The acquisitions are expected to generate FY23(F) revenue of approximately A$44.2m and EBITDA of approximately A$9.3m, and to be immediately c.5% EPS accretive. Both acquisitions are expected to settle in the first quarter of FY24.

SAA is a Sydney-based national provider of smoke alarm, electrical and gas compliance, testing and maintenance services. Founded in 2005, SAA is the second largest provider in Australia, completing approximately 284,000 jobs annually. SAA has established market leading operations in NSW, ACT and WA with a growing presence in VIC and QLD. JLG has entered into a binding share purchase agreement to acquire 100% of SAA for A$50.1m.

Linkfire is a provider of fire and essential safety services in Victoria and more recently Newcastle (NSW). Founded in 1998, Linkfire has grown to become a market leader in its existing markets servicing more than 8,500 buildings per annum. Approximately 80% of Linkfire’s customer base consists of Strata Managers and Owners’ Corporations. JLG has also entered into a binding share purchase agreement to acquire 70% of Linkfire for A$11.7m.

JLG’s CEO, Scott Dither, said: “The services provided by Smoke Alarms Australia and Linkfire are highly complementary to our current activities – particularly our Strata Services offering. The acquisitions set the foundation for JLG’s Sth Strategic Growth Pillar — “Essential Home Services”, which we will continue to build out going forward.” “Most importantly, the teams at SAA and Linkfire are the right cultural fit and we look forward to working with them.”

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