Melbourne-based civil contractor Symal Group Limited (ASX: SYL) has signed a conditional agreement to acquire the assets of Timms Group and L&D Contracting for an upfront payment of AUD 28 million. The deal positions the ASX-listed company to capitalise on Queensland’s surging infrastructure pipeline ahead of the Brisbane 2032 Olympic and Paralympic Games.
The acquisition includes more than AUD 28 million worth of plant and equipment. Settlement is targeted for the third quarter of FY26, subject to completion conditions being satisfied.
Managing Director Joe Bartolo described the deal as a strategic move into South East Queensland’s civil sector. Symal expects the combined businesses to deliver approximately AUD 8 million in annualised underlying EBITDA by FY26.
Symal Group expanding Queensland operations with dual acquisition
Strategic Foothold in Queensland’s Construction Boom
Timms Group operates as an integrated civil haulage contractor and partial construction and demolition materials repurposing business. The Brisbane-based company owns a significant fleet of prime movers, tipper trucks and trailers dedicated to heavy haulage operations.
L&D Contracting brings decades of experience to the table. Operating since the 1980s, the civil contractor has worked on major projects including the AUD 3.6 billion Queen’s Wharf development in Brisbane’s CBD.
Both businesses boast robust client relationships and proven track records in Queensland’s civil sector. Their culture and values align with Symal’s integrated delivery model, according to company statements released on 10 December 2025.
Brisbane 2032 Olympics Driving Infrastructure Investment
Queensland faces an unprecedented infrastructure challenge. The state government has earmarked AUD 22.9 billion in capital expenditure for the 2032 Olympic and Paralympic Games.
The Queensland Major Contractors Association reports a AUD 103.9 billion major projects pipeline over the next five years. Brisbane will host the Games from 23 July to 8 August 2032, with Paralympic events running from 24 August to 5 September 2032.
Key infrastructure developments include:
- New 63,000-seat Brisbane Stadium at Victoria Park
- Athlete villages across Brisbane, Gold Coast, Sunshine Coast and Rockhampton
- Cross River Rail underground train line
- Bruce Highway upgrades from Brisbane to Cairns
- New rail lines connecting Sunshine Coast to Brisbane
The acquisition of Timms Group and L&D Contracting gives Symal immediate access to established Tier 1 and Tier 2 customers. This expands the company’s geographic diversification and increases market share in a high-growth region.
Brisbane 2032 Olympic venues across Queensland requiring major infrastructure investment
Earnings Accretion and Financial Structure
The deal includes an earnout component targeting approximately 2.0 times incremental FY26 EBITDA above the AUD 8 million target. Symal will fund the acquisition entirely from existing cash reserves.
The transaction is expected to be earnings per share accretive from the first year of ownership. This represents a significant uplift for Symal, which reported FY25 EBITDA of AUD 106.1 million.
Bartolo stated: “By adding Timms and L&D Contracting to the group, we can continue to extend Symal’s differentiated, self-performing and integrated delivery model into Queensland.”
Expanding Symal’s Integrated Platform
The acquisition follows Symal’s AUD 11 million purchase of Gold Coast-based McFadyen Group in September 2025. That deal added water utilities contracting capabilities to the company’s Queensland portfolio.
Symal’s vertically integrated model combines civil contracting, plant and equipment hire, and material recycling. The self-performing approach draws on the company’s own labour pool rather than hiring subcontractors, maximising margins while taking on construction risk.
The group operates under five core brands: Symal, Sycle, Searo, Unyte and Wamarra. Services span infrastructure, power and renewables, utilities, data centres and defence sectors.
Queensland’s Infrastructure Pipeline Context
Queensland’s transformation extends beyond Olympic venues. The state government has committed AUD 7.1 billion to venue capital works programs, shared with the Commonwealth under a historic investment agreement.
Regional cities including Toowoomba, Townsville, Cairns, Rockhampton and Maryborough will host events. Each location requires significant infrastructure upgrades.
Transport projects dominate the pipeline:
- The Wave rail line from Beerwah to Birtinya
- Northern and eastern Brisbane bus corridors
- M1 motorway upgrades
- Faster rail between Brisbane and Gold Coast
The Games Independent Infrastructure and Coordination Authority oversees delivery of 17 new and upgraded venues. Work began years ahead of previous Olympic host nations, creating opportunities for civil contractors positioned in the market.
Queensland Olympic infrastructure spanning multiple regions
Market Response and Investor Outlook
Symal Group’s shares have demonstrated resilience in challenging market conditions. The stock listed on the ASX in April 2025 and beat prospectus forecasts in its maiden earnings result in August 2025.
As of December 2025, the company trades within a 52-week range of AUD 1.36 to AUD 2.09 per share. Analysts from Morgans initiated coverage with a Buy rating and AUD 2.40 price target, citing the company’s self-performance model and growing addressable market.
The three founding executives hold approximately 70 percent of shares, subject to two-year voluntary escrow. This concentrated ownership structure provides stability while the company executes its growth strategy.
Competitive Advantages in a Strained Market
Construction in Queensland faces significant headwinds. Labour competition intensifies as major health, energy and housing projects compete for skilled workers.
Symal’s vertically integrated model provides insulation from market pressures affecting peers. The company maintains limited exposure to residential development and new projects, focusing instead on services-oriented consulting and infrastructure work.
Work-in-hand balances have shifted since IPO. Infrastructure work represented 77 percent at listing but has declined to 51 percent. Utilities and power increased from 2 percent to 35 percent as Symal captures more early contractor involvement and support services.
Civil construction operations in Queensland
Industry Context and Future Catalysts
Australia’s civil construction outlook remains supported by multi-year infrastructure investment. The energy transition accelerates demand for transmission, storage and grid upgrades.
Defence estate development exceeds AUD 40 billion over the next decade. Data centre expansion creates new demand for enabling infrastructure. These factors support Symal’s AUD 80 billion-plus addressable market.
Ord Minnett analysts note the company’s strong track record converting early contractor involvement to contract wins at greater than 90 percent success rates. This creates upside scenarios not yet factored into work-in-hand balances.
The acquisition of Timms Group and L&D Contracting represents the latest step in Symal’s Queensland expansion. The company aims to replicate its integrated model across the state, creating a scalable ecosystem for long-term growth.
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What This Means for the Industry
The deal signals confidence in Queensland’s construction sector despite broader market challenges. Symal’s willingness to deploy AUD 28 million in cash demonstrates management’s conviction in the region’s growth trajectory.
Competitors may face increased pressure as Symal expands its Queensland footprint. The company’s self-performing model and asset-backed balance sheet provide competitive advantages in securing major contracts.
Brisbane 2032 represents a generational opportunity for civil contractors. Symal’s strategic positioning ahead of the peak construction period could deliver substantial returns for shareholders.
The company expects to begin announcing assay results and project updates as integration progresses through 2026. Investors will watch closely for signs the AUD 8 million EBITDA target is achievable or conservative.
