Nippon Sanso Holdings Corporation (NSHD) is set to strengthen its presence in the Australasian industrial gas market through the acquisition of the Coregas Group from Wesfarmers Limited.
Announced on 20th December, the A$770 million ($480m) deal includes Coregas Pty Ltd, Blacksmith Jacks Pty Ltd, and Coregas NZ Limited, covering operations in Australia and New Zealand.
The Coregas Group manufactures and distributes industrial, medical, and specialty gases while also providing welding-related services. This buyout complements the operations of NSHD’s Australian subsidiary, Supagas, which supplies industrial gases across 58 locations with over 300 distributors.
“This acquisition is an important step towards strengthening our group’s business foundation in Australia and New Zealand,” said Toshihiko Hamada, President and CEO of NSHD. “By establishing a cooperative structure that leverages the strengths of both Supagas and Coregas Group, we aim to create new growth opportunities and further expand our business”.
NSHD plans to utilise Coregas’ extensive sales network to grow its customer base and integrate its portfolio with Supagas’ existing operations. The acquisition builds on a previous agreement signed in May 2024 with Wesfarmers Kleenheat Gas Pty Ltd to expand Supagas’ LPG distribution in northern and western Australia.
Completion of the Coregas acquisition is subject to regulatory approvals from the Foreign Investment Review Board (FIRB) and the Australian Competition and Consumer Commission (ACCC). The transaction is expected to finalise by mid-2025.
In a parallel move, Nippon Sanso Holdings Corporation’s European subsidiary, Nippon Gases, has agreed to acquire Esteve Teijin Healthcare (ETH), a provider of respiratory home therapy services in Spain.
“This acquisition is an important step towards strengthening our homecare and respiratory business in Spain,” said Toshihiko Hamada, NSHD President and CEO.
The acquisition, subject to approval by Spain’s competition authority, aims to capitalise on the growing demand for respiratory services driven by an aging population and rising life expectancy.
