Vance Street Capital LLC is set to make a significant move in the mining and infrastructure sector by selling Terra Insights to Orica (ASX: ORI), one of the world’s leading mining and infrastructure providers, for CAD $505 million. Terra Insights, headquartered in Vancouver, British Columbia, is renowned for its end-to-end sensor and data delivery technology platforms, crucial in monitoring mining and infrastructure assets. The deal is expected to close in the first half of 2024.

Vance Street’s Successful Investment Journey with Terra Insights

Since investing in Terra through Vance Street Fund II in 2017, the company has seen remarkable growth, more than tripling its revenue and expanding margins. Terra’s success under Vance Street’s ownership is attributed to the acceleration of new product development, commercial expansion into new markets, and executing acquisitions to enhance its integrated solutions. This transaction marks the fifth realization for Vance Street Fund II.

Strategic Partnership and Value Creation

Brian Martin, Managing Partner at Vance Street, highlighted the successful partnership with Terra Insights, focusing on Vance Street’s strategy of investing in highly engineered solutions providers. Terra, under CEO Mark Price’s leadership, has transformed into a leading provider of innovative sensor and data delivery technology for geotechnical, structural, and geospatial monitoring.

Orica as an Ideal Partner for Future Growth

Steve Sandbo, Partner at Vance Street, emphasized Orica as the perfect partner for Terra Insights, promising a bright future for their collective solutions in mining and infrastructure safety markets. Mark Price, CEO of Terra Insights, acknowledged Vance Street’s pivotal role in the company’s growth and platform development.

Advisory Roles in the Transaction

Lazard acted as the financial advisor, while O’Melveny & Myers and Davies Ward Phillips and Vineberg served as legal advisors to Terra Insights and Vance Street Capital. J.P. Morgan Securities Australia Limited and Gilbert+Tobin advised Orica on the acquisition.

Conclusion:

The sale of Terra Insights to Orica represents a landmark transaction in the mining and infrastructure technology sector. This strategic move by Vance Street Capital not only signifies a successful investment journey but also sets the stage for continued innovation and growth in the field of geotechnical monitoring and data technology.

  Brian Martin, Mark Price, Orica, Steve Sandbo, Terra Insights, Vance Street Capital