Southern Cross Engineering (SCE), Christchurch, and Wilson Engineering Systems (WES), Auckland, said they view the enlarged business as a vehicle to expand export opportunities and launch in South-east Asia and South America.

SCE operates from a 5,500m2 plant and specialises in design, manufacture and installation of heavy plant such as recent projects to provide a log yard for Wesbeam and an optimised docking line for Carter Holt Harvey. WES will remain under its current management in Auckland and Melbourne.

SCE chairman Doug Marsh said the merged company will have a turnover of NZ$40m with more than half attributable to exports. He added: “Australia’s timber processing industry holds tremendous opportunities, having gone from a net importer to a net exporter of softwood in recent times.”