NOD nomad

[donnie]

Heres a good little company that builds buildings for mining and other industries as well. Theres a big market out there for these guys. They look like there getting a good slice of the market. There are other companies doing the same thing on the asx too.

NOD listed at $1 and is now $2.10.


WA mine homes builder poised for $78m raising

20th September 2006, 12:00 WST

WA’s booming resources industry has generated another significant float with South Fremantle accommodation builder Nomad Modular Building about to go public via a $78 million capital raising.

The prospectus for the float is expected to be released next week, but it is understood that shares will be offered to the public at $1, capitalising the entire company on listing at around $116.5 million.

Part of the money raised will be used to accommodate a sell-down by the company’s private equity owners, including ANZ Private Equity, which backed a management buyout led by managing director Phil Guy last year.

Nomad is based at the Australian Marine Complex at Henderson, south of Fremantle, and builds modular buildings for the resources, engineering, government, tourism and retirement sectors.

It has another two complexes at Bibra Lake and recently opened another facility in Wacol, in Queensland.

According to its website, current contracts include a construction village for the $1.8 billion Boddington gold mine expansion project, consisting of an initial 200-person camp followed by facilities for another 1050 people.

It is also doing a 550-person construction facility for the Hope Downs iron ore project, north-west of Newman, and will do the proposed 350-person permanent village.

Mr Guy confirmed yesterday in a brief statement that Nomad Building Solutions, the holding company of Nomad Modular Building, was investigating an initial public offer and listing on the Australian Stock Exchange.

“Nomad will continue business as usual,” he said. “As such, employment, supplier and contractor arrangements will not change.”

A fund manager who became aware of the float through a preliminary marketing campaign this week to prospective institutional investors by Euroz Securities and Wilson HTM said it appeared attractively priced on a number of key performance ratios.

The issue price was around 8.6 times forecast earnings in the current financial year, compared with multiples for comparable companies of around 11, and the forecast dividend yield was 6 per cent, compared with the peer level of 4.6 per cent.

The enterprise value which had been put on it was 5.1 times earnings before interest, tax, depreciation and amortisation, compared with 6.4 for like companies.

Nomad is chaired by former Multiplex managing director and deputy chairman Geoff Allen.

The other board members are Rick Blair, who recently retired as Macmahon Holdings chief financial officer, and the executive chairman of Gold Coast junior miner Monto Minerals Peter Slaughter, as well as Mr Guy.

The float would be one of the most significant in the WA industrial sector in the past year, though dwarfed by that of car retailing giant AHG and heavy earthmoving hire business Emeco.

One of the selling points is likely to be Nomad’s relative insulation for several years from an end to the mining boom because of the extended timeline of existing expansion projects.

[donnie]

up to $2.25 with the oxiana accommodation announcement. looks to have some good upside to come.

[foodee]

Profit upgrade today.
Have top up again.[]

Doesn't look like anyone is following this 'boring' share.

cheers

[foodee]

This share has gone up about 20% since I topped up over a month ago.
Interesting times!

[BRICKS]

SEEMS to be going well only needs more PUBLICTY..

[ELYOB]

This firm is constantly involved in acquisition and high profitability contracts and operations ....and these two/three things are going to happen during Jan08.

[macduffy]

I bought into this company just before Christmas after researching and following its fortunes for a few months.
It has an impressive list of contracts from major miners such as, from memory, BHP,RIO, Barrick, OXR ( Prominent Hill project) etc. Annual Report makes interesting reading, covering as it does the period from initial listing in October 2006. Company claims to have secured $230m of contracts in that period for accommodation facilities at various (mostly) mining projects. Exceeded prospectus estimates in first year.
Operates in WA and Qld and has acquired related businesses in these states.

DYOR but well worth a look.

[foodee]

Mac
Think you picked your entry well.
Would have bought more myself except I have
exhausted my allocated funds.

Cheers

[BRICKS]

WELL the price dropped a little today to new year low approx $2.50/56 but very little t/o shows a tight holding but with a downward market conditions a rough BUY..

[ELYOB]

NOD has made a major acquisition and is moving over the next month to hit the big time . I have seen early figure work being finalised by Euroz Securities out today to clients with a valuation (DCF) of $3.55.

Lots of upside to this as the move is completed by end of the month. Current price is $2.50.

Presentation out today on ASX announcements .

This is a good story , get with it !

HOLD NOD-DY

dyor


My prediction is of more contracts in NW of western australia resource industry on the way.