WesTrac Group is a market leading business with significant growth prospects.
WesTrac Group is an authorised Caterpillar dealer in its Western Australia and New South Wales/ACT Service Territories and in its North Eastern China Service Territory.
- Caterpillar is the leading global construction and mining equipment provider.
- WesTrac Group is one of Caterpillar's top five (by sales value) dealers globally (out of 182 dealers).
- WesTrac Group's relationship with Caterpillar spans approximately 20 years.
- WesTrac Australia is a market leader in its Western Australia and New South Wales / ACT service territories in heavy equipment
WesTrac Group provides exposure to the high growth resources sector in Australia
- Western Australia has extensive mineral deposits and is the third largest producer of iron ore globally.
- In New South Wales, WesTrac Group's operations are levered to the state's large and growing coal mining sector.
WesTrac Group's business model provides recurring revenue from product support
- WesTrac Group provides complete equipment solutions and services for its customers over the life cycle of the equipment. The initial sale is the beginning of an ongoing customer relationship. As the machine population grows so too does the product support revenue opportunity.
- Product support (servicing and parts) is considered a recurring, more stable and higher margin revenue stream for WesTrac Group, as customers require ongoing maintenance, in all prevailing market conditions, to keep their machines operating in the field.
Exposure to AllightSkyke and Coates Hire
- Seven Group Holdings owns 100% of the AllightSykes brand, providing lighting, power, air and water equipment sales and support, and has a 45% economic interest in Coates Hire, Australia’s leading equipment rental company.
- WesTrac Group supplies a range of equipment to Coates Hire, and AllightSykes is its preferred supplier of lighting towers. The investment by Seven Group Holdings in AllightSykes and Coates Hire provides WesTrac Group with significant strategic benefits.