Volution Group has announced the acquisition of AC Industries in Australia for an initial £75 million, with a potential additional £14.5 million in contingent payments.

AC Industries, founded in 1991 and rebranded in 2013, manufactures specialist ventilation ducting primarily for the Australian underground mining industry, serving 120 mines which accounts for 79% of its revenue. The company also has emerging international revenue in EMEA and APAC regions.

The acquisition is priced at 10 times last twelve months EBITA, comparable to Volution’s previous acquisitions. AC Industries generated £24 million in revenue for the 12 months to June, with EBITDA of £8.5 million, representing a 36% EBITDA margin. The company’s EBITA margins of approximately 33% are accretive to Volution’s group margins.

The deal is expected to add about 5% to Volution’s FY27 earnings per share. The transaction is expected to complete in February 2026, with the current co-founder and managing director continuing to run the business.

Volution also reported a strong start to its 2026 financial year, with organic revenue growth of 5% in the first four months (August to November). Including the Fantech acquisition and foreign exchange benefits, reported revenue growth was 30%. All three of the company’s regions delivered positive organic revenue growth, with the UK remaining the fastest growing region.

The company maintained consistent margins on an organic basis compared to the previous year. Following the acquisition, Volution’s leverage will be 1.8x at completion, expected to decrease to 1.5x by the end of FY26.

AC Industries primarily serves the gold and copper mining sectors, which represent approximately 80% of its revenue. The company’s products are known for their energy efficiency and reliable logistics chain from its Sydney manufacturing base.

Volution expects to deliver another year of good revenue growth, operating profit and cash generation in FY26.