Macmahon Holdings (ASX:MAH) has agreed to sell up to 50% of its Homeground workforce accommodation village in Gladstone, Queensland, to Allcap Securities for $52 million.
The transaction comprises two strategic agreements. Under the sale agreement, Macmahon will initially sell a 20% interest in the 1,392-room facility and retain an 80% interest, while Allcap holds an option to acquire a further 30% by December 2029.
The second cooperation agreement establishes a framework for workforce accommodation and civil contracting opportunities tied to development activities proposed by Inter-Port Global Consolidated Holdings (IPG), which is majority-owned by Allcap.
As part of the framework, Allcap will include Macmahon on preferred panels for civil contracting and infrastructure opportunities where permissible. Allcap will also direct accommodation requirements for relevant projects within a 70km radius of Gladstone to Homeground.
The deal positions Macmahon to pursue civil infrastructure opportunities linked to Allcap’s $20 billion Project Velocity development program in Central Queensland, designed to establish Gladstone as a container and logistics gateway.
CEO Michael Finnegan says the partnership a ‘win-win’ for Macmahon, its shareholders, Gladstone, and Central Queensland.
“This strategic partnership with Allcap Securities provides Macmahon with an opportunity to progressively realise value from Homeground, which we have consistently regarded as a non-core asset, while retaining meaningful exposure to its future performance,” Finnegan says.
“Importantly, the cooperation agreement also positions Macmahon to pursue civil infrastructure contracting opportunities associated with one of Australia’s largest regional infrastructure development projects, while simultaneously increasing utilisation of Homeground.
“[The agreement creates] new opportunities for Macmahon and our shareholders while supporting significant investment, employment. and economic activity in Gladstone and Central Queensland.”
Macmahon Holdings offers mining and civil infrastructure services throughout Australasia and Southeast Asia.
Write to Paula Fabe at Mining.com.au
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