Current Investments

HirepoolIn July 2006 Next Capital invested A$27 million to purchase 75% of New Zealand equipment rental and plant management services company Hirepool. The total transaction value was A$139 million. Read more about Hirepool
SteelforceNext Capital invested $35 million to acquire a 55.6% stake in Brisbane-based steel manufacturer and distributor SteelForce in July 2006. Established six years ago, SteelForce currently owns and operates a 120,000 tonne per annum steel pipe and tube manufacturing plant mill in Dalian, China. Read more about Steelforce
Healtheries  In December 2006, Next Capital invested A$21 million to acquire an 88.2% stake in Healtheries, one of Australasia's leading health food, functional beverage and supplement manufacturers and a recognised market leader in a number of categories. Established in 1904, Healtheries employs more than 250 staff and exports products to more than 40 countries including Australia, the United Kingdom, China and Singapore. Approximately 90% of revenue is generated from Australiasia. Read more about Healtheries
Nutra-Life Health & Fitness  In February 2007, Next Capital invested A$17 million to acquire Nutra-Life Health & Fitness, a New Zealand health supplements and sport nutrition company. Established in 1967, the company employs over 140 staff and has over 450 product lines. Nutra-Life is a major supplier of nutritional products both in Australia and New Zealand and currently exports to more than 20 countries. Read more about Nutra-Life
Roll Press Group (RPG) In June 2007, Next Capital invested $30.3m acquiring a 75.7% of the company at an EV of $92 million.  RPG has been in operation for 60 years and is Australia’s only fully integrated steel processor undertaking plate procurement, profiling, pressing and rolling on behalf of its 1,600 customers.  Read more about RPG
On Site Industrial Rentals & On Site Rentals In July 2007, Next Capital acquired two individual businesses, On Site Industrial Rentals Australia Pty Ltd (“OSIRA”) and On Site Australia Pty Ltd (“OSA”) to form a national hire group specialising in commercial rental of access, scaffolding, portable buildings and portable toilet equipment. Next Capital invested $25 million to acquire a 60% stake in the combined business. Read more about Onsite

Hirepool 

In July 2006 Next Capital invested A$27 million to purchase 75% of New Zealand equipment rental and plant management services company Hirepool. The total transaction value was A$139 million.

The company has a strategic plan to double earnings over the next four to five years through:

• geographic expansion using follow-on investment;
• fleet expansion and product development;
• product extension in existing branches; and
• operational synergies.

Investment highlights include:

• a strong brand and market share;
• one of two companies with national coverage;
• high quality fleet;
• significant expansion prospects; and
• an experienced, capable management team motivated by equity and options to share the growth of the business.

Visit the Hirepool website

Steelforce 

The company also imports product from other South East Asian mills for distribution in the Australian market.

Since July 2006, the business has:

• established a second manufacturing line in Dalian increasing volume capacity by 90,000 tonnes per annum;
• established a trading division, sourcing imported product mainly from China;
• opened five Greenfield branches creating a national distribution network; and
• expanded the product lines to distribute a full range of structural, merchant bar and pipe and tube steel products. 

Investment highlights include:

• an integrated business model generating margins at three levels;
• internationally competitive supply channel providing access to Australian standard pipe and tube;
• a rapidly evolving competitive landscape placing the company in a strong position to capitalise on opportunities; and
• capable managers with strong relationships and expertise within the steel industry.
  

Visit the Steelforce website

Healtheries 

In December 2006, Next Capital invested A$21million to acquire an 88.2% stake in Healtheries, one of Australasia's leading health food, functional beverage and supplement manufacturers and a recognised market leader in a number of categories.

Established in 1904, Healtheries employs more than 250 staff and exports products to more than 40 countries including Australia, the United Kingdom, China and Singapore. Approximately 90% of revenue is generated from Australiasia.

Its product range includes dietary supplements, herbal teas, sports nutrition (powders bars and drinks), free-from, organic and healthy foods.

With the health and wellbeing sector performing strongly due to ageing populations and consumers keen to prevent health problems rather than be treated for them, Healtheries is strongly positioned for further growth in Australasia and beyond.

The experienced and well-qualified management team is partnering with Next Capital to improve its strategic planning and undertake operational enhancements.

Investment highlights include:

• highly trusted and well-respected brands;
• leading market shares in New Zealand and Australia;
• high barriers to entry into grocery channels
• scalable distribution networks;
• high cash flow generation with minimal capital expenditure requirements;
• inherent revenue growth opportunities within existing channels; and
• an experienced and capable management team.

Nutra-Life 

In February 2007, Next Capital invested A$17 million to acquire Nutra-Life Health & Fitness, a New Zealand health supplements and sport nutrition company.

Established in 1967, the company employs over 140 staff and has over 450 product lines. Nutra-Life is a major supplier of nutritional products both in Australia and New Zealand and currently export to more than 20 countries.

Nutra-Life has strong manufacturing capabilities and established brands which occupy market leading positions in health food and pharmacy channel in NZ and in health food channels in Australia. As a leader in the Autralasian market for health supplements and sport nutrition, Nutra-Life is well positioned to capture the expected growth from changing lifestyle trends and increasing per capita income. 

Investment highlights include:

• highly trusted and well-respected brands;
• leading market shares in New Zealand and Australia;
• organic growth opportunities in supplements and sports nutrition;
• consistently strong cashflows;
• an experienced and capable mangement team; and
• high barriers to entry.

Finally the other significant investment highlight is the benefit that is available from combining the "back end" of Healtheries and Nutra-Life whilst keeping the market and brand positions of both Healtheries and Nutra-Life seperate.

Following the acquisition Nutra-Life and Healtheries are wholly owned subsidiaries of the same Group in which Next holds a 70.7% stake. Mike Thompson, the founder of Nutra-Life, holds a 19.9% stake and the management of Nutra-Life and Healtheries hold the balance.

Visit the Nutralife website





Roll Press Group (RPG)

In June 2007, Next Capital invested $30.3m acquiring a 75.7% of the company at an EV of $92 million.  RPG has been in operation for 60 years and is Australia’s only fully integrated steel processor undertaking plate procurement, profiling, pressing and rolling on behalf of its 1,600 customers.

In addition to steel processing the company is also an active supplier of steel towers for the wind farm industry, heavy fabrications and large diameter welded pipes for wharf and water infrastructure.  RPG operates from Wacol and Richlands in Brisbane and Kilburn in Adelaide.

Funding raised as part of the transaction was applied to:

• Facilitate the exit of a number of passive shareholders
• Allow 2 senior managers to realise part of their shareholding
• Fund the complete acquisition of the Kilburn based Air Ride Wind (steel towers)
• invest in capital upgrades in steel processing and tube making
• Potentially acquire a competing tube manufacturer

Investment highlights include:

• Exposure to high growth infrastructure spend in renewal energy, water and ports
• Opportunity to lead further industry consolidation
• Improved competitiveness by the selective investment in capital assets
• Strong operating cashflows over the short to medium term

Visit the RPG website

On Site Industrial Rentals & On Site Rentals

In July 2007, Next Capital acquired two individual businesses, On Site Industrial Rentals Australia Pty Ltd (“OSIRA”) and On Site Australia Pty Ltd (“OSA”) to form a national hire group specialising in commercial rental of access, scaffolding, portable buildings and portable toilet equipment. Next Capital invested $25 million to acquire a 60% stake in the combined business.

On Site Industrial Rentals generates the majority of its revenue through the rental of access and scaffolding equipment with national presence in Sydney, Brisbane, Gold Coast, Melbourne, Perth, Bunbury, Kalgoorlie, Karratha and Wollongong. The company also operates a retail division which sells access equipment through a distribution relationship with international access equipment suppliers such as Genie. On Site Industrial services a broad customer base diversified across industries – split evenly across commercial / industrial, industrial maintenance, engineering, mining, and events customers.

On Site Australia generates the majority of its revenue through the rental of portable buildings and portable toilets mainly to the construction, industrial and special events industries with sites in Sydney, Newcastle, Brisbane, Gold Coast, Sunshine Coast, Melbourne, Karratha, Perth and Townsville. The company services over 1,800 customers in construction (residential and non-residential), industrial development and government infrastructure industries.

Investment highlights include:

• Diversified product range across general and access hire equipment provides exposure to fast growing markets – the industry forecasts for commercial and industrial construction growth is particularly strong over the coming years
• Recognised brand name with long standing customer relationships and strong supply arrangements with international access supplier (Genie)
• Geographic expansion prospects to generate national footprint in all states of Australia and consolidate position as along the east and west coasts
• Experienced, high quality management team