Mining Services Specialist Stracon Group Acquires Ameco South America from Fluor Corp.
Stracon Group, a mining services group focused on North and South America, majority owned by global asset manager Ashmore Group plc, has expanded its geographic reach and service offerings into Chile, the world’s top copper producer, through the acquisition of Ameco South America from Fluor Corp. Terms of the transaction were not disclosed.
Ameco is an equipment rental business that manages a fleet of approximately 1,000 specialty assets that are used by mining sector clients. Ameco’s business is concentrated in Chile where it serves a portfolio of clients that include significant copper producers such as Antofagasta Minerals, BHP, Capstone Copper, Codelco and Lumina Copper. In addition to being the world’s top copper producer, Chile has the world’s largest copper and lithium reserves, both of which are critical to the global energy transition. The client relationships developed by Ameco over its 29-year history represent a platform from which Stracton can significantly expand its presence in Chile.
“I want to welcome to Stracon the 1,365 people that have all worked tirelessly to establish Ameco as a trusted service provider to the mining sectors of both Peru and Chile,” said Steve Dixon, CEO, Stracon Group. “The acquisition will add both scope and scale to Stracon’s operations, increase revenues by approximately 25 percent, add new service lines and geographies, and be immediately accretive to earnings. The acquisition will not only strengthen our ability to bid on major projects in the region, but also further diversify our revenue streams. We are abundantly aware of how important Ameco’s experienced leadership team and the continued commitment of Ameco’s employees are to delivering client success and achieving the cross-selling synergies that are possible.”
Stracon Group delivers innovative mine technologies and solutions to mining companies operating across the region including in Canada, United States, Mexico, Colombia, Ecuador, Peru and Chile. The company serves as a bridge between its mining clients and local communities to support the responsible production of minerals that are critical to the global supply chain and energy transition. Headquartered in Toronto and Lima, Peru, Stracon Group’s operating companies include Stracon, Dumas and Stracon Technologies.
About the Author
Michael Roth
Editor
Michael Roth has covered the equipment rental industry full time for RER since 1989 and has served as the magazine’s editor in chief since 1994. He has nearly 30 years experience as a professional journalist. Roth has visited hundreds of rental centers and industry manufacturers, written hundreds of feature stories for RER and thousands of news stories for the magazine and its electronic newsletter RER Reports. Roth has interviewed leading executives for most of the industry’s largest rental companies and manufacturers as well as hundreds of smaller independent companies. He has visited with and reported on rental companies and manufacturers in Europe, Central America and Asia as well as Mexico, Canada and the United States. Roth was co-founder of RER Reports, the industry’s first weekly newsletter, which began as a fax newsletter in 1996, and later became an online newsletter. Roth has spoken at conventions sponsored by the American Rental Association, Associated Equipment Distributors, California Rental Association and other industry events and has spoken before industry groups in several countries. He lives and works in Los Angeles when he’s not traveling to cover industry events.