DGL adds to its network with $13 million acquisition

Specialist chemicals business DGL Group has acquired Austech Chemicals Pty Ltd in a $13 million deal that sees the company expand into the sustainable vehicle space.

It’s been a busy few months for DGL, which transports, stores and processes chemicals and hazardous waste. This latest move comes after the business announced the $8.9 million acquisition of Shackell Transport just last month.

As more sustainable vehicles hit Australian roads, more advanced fluids will be required. DGL says the strategic acquisition of Austech is a unique opportunity to access the sustainable vehicle market.

For the past 20 years, Austech has developed unique intellectual property for chemical formulations used in the automotive industry. Austech specialises in the manufacturing of non-oil automotive chemicals, such as coolant, brake fluids, solvents, flammables and aerosols.

“With the acquisition of Austech, DGL will now have a network of 51 facilities stretching from Darwin to Christchurch with a throughput  of  over  1.5  million  MT  per  annum  and  servicing  over  2000  regular customers,” said founder and CEO of DGL, Simon Henry.

Austech will add to the already  established  Trans-Tasman  presence  of  30  chemical manufacturing  sites  across  Australia  and  New  Zealand.

Austech formulates over 12,000 MT of specialty chemicals per annum for customers that include major oil and retail blue chips.

DGL says it will retain Austech staff and management.

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