08:04 AM EST, 11/05/2024 (MT Newswires) -- Major Drilling Group International ( MJDLF ) said on Tuesday that it has acquired Explomin Perforaciones, a specialty drilling contractor based in Lima, Peru for an upfront cash payment of US$63 million.

An additional earn-out of up to US$22 million, which is subject to the achievement of certain ebitda growth milestones, would boost the total price to US$85 million. Major Drilling ( MJDLF ) will fund the acquisition with cash on hand and existing debt facilities.

The transaction is expected to be immediately accretive and provides the company with greater exposure to the copper market as Explomin is one South America's largest drilling contractors, Major Drilling ( MJDLF ) said.