IMDEX buys AI geoscience company Earth Science Analytics for $26m
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The news: Mining technology group IMDEX has acquired a controlling stake in AI-based geoscience platform Earth Science Analytics (ESA) for $26 million, and told investors it aims to buy the company's remaining shareholding within the next four years.
The numbers: IMDEX has bought an initial 80.5% controlling equity interest in Norway-based ESA, primarily from non-employee shareholders.
IMDEX said it plans to buy the remaining 19.5% stake from the company's founders after four years via a put and call structure, with a minimum payment of $7 million.
Perth-based IMDEX said it expects the acquisition to contribute $4 million in revenue and deliver a breakeven earnings margin for the 2026 financial year.
The context: The deal, which will be funded via IMDEX's existing debt facility, is expected to complete at the end of August.
Founded in 2016, ESA's EarthNET platform uses artificial intelligence to interpret large geophysical datasets. IMDEX said that while ESA's current offering targets the energy sector, the platform is transferable across all earth science datasets.
IMDEX aims to use EarthNET alongside its existing digital assets to "materially expand" its digital offering and position it as a "primary growth engine" for the business.
What they said: "This acquisition is a defining step in the acceleration of our digital strategy across multiple end markets," said IMDEX managing director and CEO Paul House.
"By integrating ESA's talent and EarthNET platform with IMDEX's existing capabilities, we're significantly reducing time-to-market for our orebody knowledge solutions."
The source: ASX
