“The Manley Steels business further expands the product range and geographical footprint of SDS and importantly, provides the group with a complete range of drilling consumables which will enable SDS to continue to develop its performance management business within Australia,” said chief executive officer Christian Lange.

“Manley Steels gives SDS a solid platform to build its presence in the North American and growing South American resources markets.

“The acquisition fits with SDS’s strategy of acquiring and integrating businesses that complement existing products and services, enabling us to build greater critical mass in sectors in which we have an established reputation,” said Lange.

This latest buy for the acquisition hungry SDS has been funded by a combination of cash, and the issue of 1,542,806 new ordinary shares. Shares in the company were down 4 cents to 83 cents late Tuesday.