Maas Group delays IPO until 2020

Maas Group started out with a single Bobcat in Dubbo.

Australian construction materials, equipment and services provider Maas Group Holdings is believed to have delayed its plans to list on the Australian Securities Exchange until next year.

The $600 million-odd company has been working with advisory firms Moelis and Morgans on its initial public offering, which was originally expected to happen before Christmas.

Maas Group was looking to tap the public market for equity to fund acquisitions.

However, it is now understood that the group has the funds to pay for the deals without a listing.

It will now make efforts to hit the boards in 2020 when operations it has acquired will likely boost its bottom line and enable the company to command a stronger price from the equity capital markets.

Dubbo-based Maas was founded in 2003 by Wes Maas, a former South Sydney rugby league player who played NRL in 2002 and, according to the company’s website, started with one Bobcat and one tipper truck at the age of 23.

It now has 500 staff and has been compared by some fund managers to the family-run Queensland-based cement company Wagners.

The business is expected to be popular with investors, partly due to Mr Maas’ continued involvement.

But those close to the company say it is far more diverse and, while involved in quarrying, does not operate in the cement market.

When Wagners listed, the IPO of the cement business was a roaring success. It started life as a public company with a $436m market value.

Maas Group is focused on the growing civil, infrastructure and mining end markets.

The company operates in Australia and has manufacturing facilities in Vietnam. It operates across construction materials, civil and plant equipment hire, underground equipment services and commercial and residential real estate.

It is on track to generate annual earnings before interest, tax, depreciation and amortisation of between $55m and $65m after making about $50m of EBITDA during fiscal 2018.