Symal Group (ASX:SYL) has agreed to acquire Queensland-based defense and resources contractor Shamrock Civil for AU$51 million upfront, alongside up to AU$28.4 million in performance-based earn-outs linked to fiscal year 2026 and fiscal year 2027, according to a Wednesday filing with the Australian bourse.

The AU$51 million upfront comprises AU$40.8 million cash and AU$10.2 million in the company shares escrowed for two years, per the filing.

Shamrock is a founder-led, self-performing contractor with more than 30 years of experience and over AU$220 million in annual revenue over the past three years.

The acquisition is aimed at scaling the company's defense platform amid a AU$425 billion defense spend pipeline, while strengthening its Queensland base, expanding into the Northern Territory and South Australia, and increasing exposure to resources and gas infrastructure markets, the filing said.

The transaction is expected to be earnings accretive in its first full year after completion, with forecast fiscal year 2026 earnings before interest, taxes, depreciation, and amortization of about AU$16 million, and remains subject to customary conditions, including Australian Competition and Consumer Commission approval, the filing added.