GenusPlus Locks in $400M Deal to Acquire Gas and Infrastructure Leader MPK
Genus strikes transformational $400m deal to acquire gas and infrastructure leader MPC Kinetic
GenusPlus Group (ASX: GNP) has entered into a binding Share Purchase Agreement (SPA) to acquire 100% of the issued capital of MPC Kinetic Holdings Pty Ltd (MPK) for total consideration of up to A$400 million. MPK is a leading provider of gas gathering and well maintenance services to Tier 1 customers in the QLD onshore gas sector, as well as construction services for renewable energy and major pipeline projects across Australia.
The consideration is structured across three components:
- Upfront cash consideration: A$325m
- Deferred cash consideration: A$25m (payable 6 months post completion)
- Earn-out cash consideration: up to A$50m (subject to MPK achieving a FY27 EBIT target of A$70m)
Completion is anticipated on 1 July 2026, and the transaction accelerates Genus’ strategy to become the leading provider of critical infrastructure services across Australia.
Managing Director David Riches
“The acquisition of MPK will be transformational for Genus. MPK is a high-quality business with a strong management team, blue-chip client base, and significant potential.”
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Why this deal makes financial sense for GNP investors
Attractive acquisition multiples and immediate earnings uplift
Based on the maximum total consideration of A$400m and assuming the top end of the earn-out target is achieved, the implied acquisition multiple is approximately 4.3x FY27 EBITDA and 5.7x FY27 EBIT. The transaction is expected to be highly EPS(A) accretive to Genus shareholders.
The combined pro-forma entity presents a materially larger earnings base. The table below sets out the key financials, based on Genus’ standalone FY26F midpoint guidance and MPK’s 3-year average (FY24–FY26F). Note these are non-IFRS measures.
| Metric | Genus Standalone (FY26F) | MPK 3-Year Avg (FY24–FY26F) | Combined Pro-Forma |
|---|---|---|---|
| Normalised EBITDA | A$98m | A$97m | A$195m |
| Normalised EBIT(A) | A$78m | A$75m | A$153m |
Balance sheet stays conservative despite deal size
Genus intends to fund the A$325m upfront cash consideration through a combination of:
- Up to A$200m equity raise via an institutional placement
- Drawdown from its upsized Syndicated Facility Agreement (upsized from A$429m to A$549m with Commonwealth Bank of Australia, HSBC, and National Australia Bank)
- Existing cash reserves and operating cashflows
On a pro-forma basis, using the upfront consideration only, the combined entity’s Net Debt to normalised EBITDA ratio sits at just 0.01x, reflecting a strong and highly conservative balance sheet position.
What is gas gathering and well maintenance, and why does it matter?
Gas gathering refers to the process of collecting natural gas from multiple wellheads and transporting it through pipeline networks to central processing facilities. Well maintenance involves the ongoing servicing of those wellheads to sustain production output over time. These are recurring, operationally intensive services, and MPK is an established provider of both to major energy asset owners in Queensland’s onshore gas sector.
Australia’s east and west coast gas markets are both forecast to face significant supply deficits. This positions gas as a critical component of the country’s energy security and as an important transition fuel while renewable capacity is scaled up.
The strategic fit with Genus extends into renewable energy construction as well. On a wind or solar project, there are two key scopes of work: Civil Balance of Plant (CBOP), which covers earthworks, access roads, foundations, and underground conduits; and Electrical Balance of Plant (EBOP), which covers the electrical infrastructure connecting turbines or panels to the grid. MPK typically performs the CBOP scope, while Genus performs the EBOP scope. Together, the combined group can self-perform both scopes on a single renewable project, a meaningful competitive advantage.
MPK has demonstrated this capability at scale, having recently completed civil balance-of-plant works at the Golden Plains Wind Farm (Stages I + II), described as the largest installation of its type in the southern hemisphere.
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MPK’s financial track record and the path to completion
Proven revenue scale and blue-chip customer base
MPK brings a substantial and audited earnings history to the combination. Key financials include:
- FY25 audited: revenue A$533m, EBITDA A$104m, EBIT A$83m
- FY26F: revenue A$547m, EBITDA A$116m, EBIT A$95m
MPK’s Tier 1 client base includes, but is not limited to, Santos, Arrow, Origin, QGC, and Vestas. Revenue quality is underpinned by the contract mix: approximately 69% of FY25 revenue was based on schedule of rates, cost reimbursable, and target cost work, providing a degree of predictability not typical of fixed-price project exposure.
Investors should note that FY27 performance is expected to be lower than FY25 and FY26F, as major renewable projects reached practical completion and MPK remains in the tendering phase for a pipeline of new renewable work. The earn-out consideration has been structured with a FY27 EBIT target of A$60–70m specifically to mitigate this downside risk for Genus.
MPK Managing Director Adam Machon
“This acquisition presents an opportunity for the folks at MPK to continue to grow from a place of certainty and a platform where we can continue to support our valuable client base.”
Key milestones before the deal closes
Completion of the transaction under the SPA is subject to the following conditions precedent being satisfied or waived:
- Completion of Genus equity raising of not less than A$200 million (before costs)
- Change of control consents on certain material contracts
- ACCC approval or waiver
The indicative timetable for the placement and transaction is as follows:
- 18 May 2026 — Transaction announced; trading halt requested
- 19 May 2026 — Placement results announced; Genus to resume trading on ASX
- 22 May 2026 — Settlement of new shares under the Placement
- 25 May 2026 — Allotment and expected commencement of normal trading of new shares
- 1 July 2026 — Anticipated completion of Transaction
MPK’s existing Managing Director and key management personnel will continue to manage the business, with all staff continuing to be employed under Genus following completion.
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