The leading success story in local farm manufacturing initiates a 50% private equity placement to open a new era of growth
Of all the big buy-ins and sell-offs in farm model manufacturing, this is a big one, BOSS Engineering has secured an equity deal that will see the company accelerate its next stage of growth in farm equipment sales.
BOSS Engineering (BOSS) has signed an agreement for Alceon Private Equity to become a 50% owner of its industry-leading engineering company, based in Inverell NSW. Marking the first institutional capital to be invested into BOSS Engineering.
The deal valued BOSS at a cool $170 million as an enterprise valuation.
The BOSS Engineering growth has been watched with great envy by industry participants as their range of seeding bars and air-carts has had full order books for the past six seasons.
The farm equipment product range from BOSS was formulated in 2011 by four well-known local identities, Mick Grills, Andrew English, Dan Ryan and Peter Mansur.
Between the four partners, they already knew what local growers wanted in planting equipment but it was the way the partners were going to deliver the units to growers that was to be their ‘magnum opus’.
BOSS was to become the biggest engineering-led manufacturer of farm equipment to adopt a robotics-first approach. To the point today where BOSS has 27 robots in its 32,500sq.m facility in Inverell NSW to produce one of the most sophisticated and highest yields from their cultivators, seeders and air-carts.
In addition, BOSS also moved into manufacturing heavy-duty aluminium and steel Ute trays, trailers and accessories through the BOSS Built brand.
BOSS supplied mission-critical equipment to a market of corporate and large-scale farmers across the country in a market segment that grows up to 70% of our local essential food supply.
BOSS timeline to success
Chief Executive Officer of BOSS Engineering, Nathan Barnett said, “The new investment and Board support from Alceon will underpin BOSS’ growth strategy, funding its growth both geographically and by accelerating its capacity to introduce new products.
“This partnership with Alceon will allow us to materially grow the business and to accelerate that growth timeline. The partnership with Alceon PE will empower BOSS to solve more problems for our customers and increase employment throughout Inverell and other locations, such as our newly established Wagga site and soon-to-open Tamworth NSW and Toowoomba QLD sites.
“Alceon brings growth capital and scaling experience that complements our core capability of engineering excellence. Importantly to us as hands-on business owners and managers, Alceon structures each investment as a separate vehicle as opposed to a large multi-investment fund which means we are not beholden to fund closure timetables.
“The investment will provide the funding to allow BOSS to accelerate new product development and increase productive capacity by investing in new machinery, robots, infrastructure and our people,” CEO Nathan Barnett concluded.
Alceon Group perspective
Joint Managing Director of Private Equity at Alceon Group, Zac Midalia outlines the deal, “Boss is an Australian success story of global proportions. The entrepreneurial, engineering robotic focus has created a culture of excellence and performance.
“The result of this has rewarded these remarkable founders and this incredible Company and we are grateful to be part of the next chapter of growth as we take Boss Engineering to the nation,” Zac Midalia added.
Three of the BOSS Engineering founders, Mick Grills, Andrew English and Dan Ryan will stay in the business to ensure it continues to deliver outcomes for customers and maintain the close relationships with employees and its customers that it is well known for.
Alceon’s Ben Sebel will join the BOSS Board and, together with the founders, will oversee the businesses’ growth plans moving forward.
BOSS Engineering profile
BOSS Engineering Pty Ltd was formed in 2007, in Inverell, Northern NSW. Early intentions were to produce truck bodies; however, the market pushed BOSS in other directions. BOSS found itself servicing the expanding Agriculture and Transport sectors. Over the years BOSS Engineering has adopted the latest engineering and manufacturing techniques. The modern manufacturing plant is over 30,000 square metres, employing more than 220 people.
In 2011, BOSS launched its unique line of agriculture machinery, under the name BOSS Agriculture including Broadacre Planters, Row Crop Machinery, Air-Seeders and Spare parts.
In addition, BOSS Built is a division within BOSS Engineering. BOSS Built’s focus is on producing the highest quality Ute trays, service bodies and transport equipment on the market.
BOSS’ continued investment in our staff and manufacturing equipment ensures we deliver quality products at competitive prices.
Alceon Group profile
Alceon Group is a financier and multi-strategy alternative investment manager. Their focus is on investing capital for individuals and institutional clients spanning across various asset classes including real estate, private equity, credit and liquid market strategies.
