Nantong Dredging is Important Part of Astika’s Strategy, Official Says
Astika Holdings Inc. is finalizing the acquisition and accelerating the audit process in order to be able to bid on dredging projects in China, Australia and Africa.
The China and global dredging market will continue to grow due to growing China and world populations, higher energy demand, increasing seaborne trade, rising size of container vessels, and rising sea level.
Additionally, the Chinese government is increasing its economical and political influence in Africa, Brazil, and the Middle East, which could lead to dredging orders for Nantong Dredging in the coming years. The Company believes that an acquisition of Nantong Dredging’s extensive mechanical engineering experience and network throughout China will work with Astika’s plans for the growing global dredging sector.
Mark Richards, the director for Astika Holdings, said: “We believe to be on track for significant growth with this initial acquisition from the Nantong Region to deliver revenue and earnings growth. The initial acquisitions sales revenues are currently projected at $31.91M with an EBITDA of $14.73M and a Net Profit of $9.7M. The acquisitions have the potential to accelerate and triple revenues and earnings growth since China is the largest dredging market in the world with more than 29% of the $15bn total global dredging world market. Nantong Dredging is an important part of Astika’s ongoing strategy to add value through successful project development and opportunistic high growth sector acquisitions with efficient operations, while maintaining a low risk profile through project diversification, astute financial management and operations in secure jurisdictions.”
Press Release, April 24, 2014