Construction services firm Siteserv has acquired utilities services provider Sierra Communications for a maximum price of €46 million.
Siteserv has agreed to pay €46 million on completion of the acquisition, out of which €41.4 million will be paid in cash and the remaining by way of an ordinary share issue at €0.59.
Siteserv said additional amounts of up €6 million will be payable based on the financial performance and levels of growth in profitability of Sierra over the next three financial years, to June 2010.
The company said that the acquisition will be funded through Siteserv's existing resources and additional borrowing of about €42.9 million.
Sierra provides services to the power, telecommunications and civil engineering markets in Ireland.
It operates four sites at Nangor Road, Dublin 12; Dunboyne, Co Meath; Ballyjamesduff, Co Cavan; and Spierstown, Co Donegal.