Otoc steps towards east coast expansion

Surveying and infrastructure company OTOC has completed its acquisition of Victorian surveying, urban design and town planning business Bosco Jonson.

The $14 million acquisition was announced last month, with $13 million in cash and $1 million in Otoc shares for the vendors of Bosco Jonson.

Earlier this month, Otoc completed a $10 million placement as part of its plan to expand into the east coast market.

In the most recent financial year, the company recorded $5.5 million net profit after tax on revenue of $113 million.

Chief executive Simon Thomas said Otoc was delighted by the acquisition.

“The acquisition is an ideal addition to (the group) and first step in our national surveying strategy in terms of size, geographic exposure, blue-chip client base, financial performance and management expertise,” he said.

“Bosco Jonson is a leader in the Victorian surveying market and its premium brand and award-winning team of professionals will remain in place.

“We are pleased with the support shown by our shareholders and new institutional investors for our national surveying strategy as evidenced by the strong response to our recently announced $10 million equity raising.

“We are in a strong position to expand Otoc’s geographic reach and product capability as we strive to create a premium national surveying practice.”

Otoc closed down 4.44 per cent to 21.5 cents per share.