Australia's Dynamic Group climbs on Welldrill acquisition

BWE Drilling

11/07/2022 01:44

** Shares of drilling services provider Dynamic Group
Holdings  DDB.AX  climb as much as 17% to A$0.345, mark their
biggest intraday gain since March 16
    ** Co to acquire Western Australia-based water well drilling
business Welldrill1 for total consideration of A$19 mln ($12.99
mln)  urn:newsml:reuters.com:*:nASXbFb2jH
    ** Says acquisition is expected to be more than 30% EPS
accretive to co's shareholders in FY23
    ** Adds Welldrill is anticipated to generate about A$26
mln-28 mln revenue and about A$7 mln-8 mln EBITDA in FY23
    ** Shares hit their highest since May 17
    ** Volumes 2.9 times the 30-day average of 47,546 shares
    ** As of last close, stock down 33% this year


($1 = 1.4626 Australian dollars)

 (Reporting by Himanshi Akhand in Bengaluru)
 ((Himanshi.Akhand@thomsonreuters.com;))