Category update: Building products
Big River Group acquires Specialised Laminators
WA builder BGC has made new claims about the Fletcher Building Iplex product involved in Perth's leaky pipe problem
Tue Jul 09 2024
Big River Industries recently announced the acquisition of Specialised Laminators (SLQ), a Queensland-based panel products company. The move enhances Big River's panel product offerings and adds to its presence in the industry.
Established in 1977, SLQ has earned a reputation for producing high-quality decorative and functional panel products. Now it is part Big River's Timberwood Panels division across Australia. John Lorente, CEO of Big River Group, said:
Bringing SLQ into the Big River family is a significant milestone in our mission to offer top-quality panel products to our customers. This acquisition allows us to expand our specialised panels division, providing customers with a broader selection of innovative and high-performance panel solutions. The synergies between SLQ and Big River create exciting opportunities for growth and product development.
John Closter, one of SLQ's founders and general manager Wayne Austin, will continue to lead the business under the Big River umbrella, ensuring continuity and leveraging their expertise to drive future success. Mr Closter said:
Joining Big River Group is an exciting new chapter for SLQ. We are confident that our combined expertise and resources promise enhanced product availability, improved supply chain efficiencies, and innovative panel solutions tailored to meet diverse construction needs.
Big River has been operating for over 120 years, manufacturing and distributing timber and steel formwork products, timber flooring, building products, structural plywood and related timber products. It also distributes MaxiWall and MaxiFloor, primarily to the commercial, residential and infrastructure construction market segments.
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Big River Group: New look, confirmed values - HNN Flash, February 2024Fletcher Building and BGC
Fletcher Building has accused BGC of a "crude attempt" to pressure negotiations to resolve the bursting water pipes crisis in Perth (WA).
As the manufacturer of the controversial Iplex piping, Fletcher Building released a statement to the stock market rejecting BGC's claims the rate of pipe bursts was getting worse. It said:
The public claims made by BGC are a crude and apparent attempt to place pressure on those negotiations. The conclusions shared by BGC have not been verified, shared with Iplex and are, in many respects, inconsistent with evidence we have gathered first-hand or been provided by other parties.
The West Australian revealed BGC's claims, which included that bursts were over 20% higher than the same period (June) last year.
BGC is the largest builder to use the "defective" Iplex piping, accounting for about 65% of installations in new homes. It claims the pipes were faulty and has blamed the manufacturer, which in turn denies the claims and says incorrect installation is the cause of all the leaks.
In its statement, Fletcher Building said it hadn't changed its view.
Fletcher Building stands by its views on causation shared with the market previously.
Both companies are participating in mediation organised by the WA State government to find a way out of the impasse, with affected homeowners calling for their houses to be re-piped. The dispute is over who will wear the steep cost.
As revealed by The West Australian, the State Government has put $30 million into a fund, that has so far accumulated $130 million to $150 million to remediate homes. BGC had earlier walked out of negotiations, but was persuaded to return.
In its statement, Fletcher Building said it remained "committed to a sensible, data-led and proportional solution from all parties and to playing its part in that process".
We continue to participate in mediated discussions alongside the WA Government and many WA builders, including BGC, to finalise an industry response to the plumbing failures occurring in Perth. These negotiations are confidential and have not yet concluded.
On average it cost AUD80,000 (NZD86,000) to do a full pipe repair in BGC homes, and it was a pipe manufacturing problem, according to BGC's general manager of strategy and commercial Sam Gray.
However some estimations put the cost of replacing all Iplex piping at more than $1 billion.
Related
Iplex ongoing dispute with BGC Housing in WA - HNN Flash, November 2023