Ironbridge likes telco up-and-comer ISGM31-Oct-2011 Ironbridge likes telco up-and-comer ISGM
31 Oct 2011
Edited by Sarah Thompson, Christine Lacy and Stephen Shore
After a pretty quiet year on the acquisition front, Ironbridge Capital has opened up its purse strings, signing its second deal in less than a week. Within hours of picking up a pair of West Australian shipping companies, Ironbridge took a stake in Melbourne-based telco contracting business ISG Management on Friday afternoon. ISGM is best known for a $100 million a year, nine-year deal it signed with Telstra recently.
The contract means ISGM will organise all the subcontractors for maintenance and fault-fixing on Telstra ’ s copper line services nationally. The company is expected to turn over about $150 million next year. Ironbridge only bought a minority stake but it plans to add to its holding as the company raises capital for a few bolt-on acquisitions and new contract work.
The buy and build strategy is straight out of the Ironbridge playbook. ISGM ’ s only a baby. It was founded last year by a couple of former Service Stream and Skilled Group workmates, Adrian Field and Joseph Caporale.