Veracio has signalled its intention to ratchet up its growth in the geoscience data technology market through its US$29.3 million acquisition of Sweden’s Minalyze, its first M&A deal since being formed by parent Boart Longyear earlier this year.
Veracio is paying $15 million cash for Minalyze, and the balance in promissory notes convertible into “shares in Veracio”, indicating some sort of spin-out course for the business might be an option for Boart Longyear down the track.
Minalyze, known for its Minalyzer multi-sensor drill-core scanner, was started by Annelie Lundstrom and Mikael Arthursson in Gothenburg, in 2009. It was incubated by Chalmers Ventures and incorporated in 2010. Lundstrom told InvestMETS.com Chalmers had since remained as a key Minalyze stakeholder.
She said last year the company was “growing fast” on the back of commercial success in Australia, Sweden and Canada, and expected to “almost double our turnover”. Minalyze had 21 staff when the Veracio deal was announced.
“With the unique combination of Veracio’s AI and advanced analytics solutions and Minalyze’s geological data visualisation technology, this strategic acquisition will transform the way the industry captures, analyses, and interprets geological information, ushering in an era of informed decision-making in an increasingly complex and data-driven world,” Veracio said this week.
The firm’s CEO John Clark said Lundstrom and Arthursson would join Veracio’s leadership team.
“We see this as a better-together opportunity, leveraging our collective expertise to push boundaries and create a product portfolio that goes beyond anything previously available for the mining and exploration industry,” Clark said.
Veracio started with about 75 staff and booked 2023 first-half revenue of $4.5 million.