Well known to the quarrying industry, the highly regarded Mudgee-based Mudgee Dolomite & Lime (MDL) is up for sale for the first time in 26 years.
The sale process is being run by advisory and investment firm KordaMentha.
Rahul Goyal, partner at KordaMentha, said: “This is a fantastic opportunity for an industry player or investor to purchase an operating business with an estimated remaining life of 31 years.”
Goyal noted that he and his colleague Jennifer Nettleton had been appointed liquidators by the court with a mandate to sell the quarry due to a shareholder dispute.
“The business is highly profitable and has sold approximately 220,000 tonnes of product per year to customers in the construction, agriculture and mining industries,” he said.
MDL’s operations are located at Buckaroo, 9km north-east of Mudgee, NSW.
The quarry has been operational for 40 years and produces a range of agricultural lime and dolomite products as well as aggregates, road base, dust and stemming with mining and construction applications.
“We believe an incoming purchaser will be able to immediately improve earnings due to the recent consolidation of operations at the Buckaroo site following the closure of a leased quarry located at nearby Bylong,” Goyal said.
“Most products sold from Bylong are also sold from Buckaroo, enabling a purchaser to unlock substantial cost synergies.”
Non-binding indicative offers are due on Monday, 21 June 2021.
For further information about the sale, contact Paul Hewson, tel 0405 770 682 or email: phewson@kordamentha.com