• Acquisition of 100% of Force Fire Holdings Pty Ltd for up to $53.5m
• Expands SCEE's capabilities into fire safety solutions, a natural adjacency
• Enhances SCEE's exposure to attractive commercial and industrial end markets

SCEE, a leading national electrical, instrumentation, communications, security, fire, and maintenance group, has entered into a Share Purchase Agreement to acquire 100% of Force Fire Holdings Pty Ltd ('Force Fire') for consideration of up to $53.5m on a cash-free debt-free basis. Force Fire is one of Australia's leading providers of end-to-end fire safety solutions with a 25-year track record servicing clients across attractive end markets such as commercial, industrial, data centres, education, and retail. The acquisition consideration represents EBIT multiples of 4.8x FY25F and 4.1x FY27F. The acquisition will significantly enhance SCEE's ability to address opportunities in the commercial, industrial, and data centres segments, providing further sectoral and geographic diversification. The transaction is expected to be at least 18% EPS accretive on a FY25 pro forma basis. Force Fire is budgeted to generate revenue of $106m and EBIT of $8.3m in FY25. The acquisition is consistent with SCEE's strategy to add adjacent and complementary capabilities, and increase exposure to services and maintenance style works and recurring revenues.

The acquisition of Force Fire is expected to contribute at least $10m EBIT to SCEE in FY26.

The acquisition of Force Fire is expected to generate significant benefits for SCEE, including cross-selling opportunities, potential to leverage SCEE's relationships and processes to drive efficiencies, and a platform to pursue further acquisitions and consolidation in the highly fragmented fire safety sector. Long-term market dynamics are also favourable, with new sustainability regulations and building code updates driving an increase in building refurbishment projects and creating opportunities for SCEE's wider service offering.