Allenwest Wallacetown is a specialist designer and manufacturer of flameproof electrical distribution and motor control equipment for hazardous areas.

Ampcontrol chief Dr Alan Broadfoot said the company was an excellent strategic fit for Ampcontrol and positioned it to expand its product offering through established underground coal mining countries, as well as providing a launch pad for potential growth into new markets.

"With this investment, the Ampcontrol Group becomes one of the world's leading and most technologically advanced electrical and electronic equipment manufacturer and service provider in the international coal mining market," Broadfoot said.

He said the deal will also add support to its design, manufacture and research capabilities.

Group business development manager Peter Hogg said he expected benefits from the transfer of intellectual property between the two companies.

"I think you will quickly see a flow of technical knowledge, engineering research and expertise between the companies as the benefits of the acquisition start to flow."

“This will also give our employees further scope to develop their skills and the opportunity to service new and exciting markets."

Allenwest Wallacetown operates out of a manufacturing facility in Irvine Scotland, just outside Glasgow and currently employs 90 people.

The company sells into 28 countries in the underground coal mining and oil and gas industries.

Ampcontrol's product range expands this offering to include instrumentation and hazard monitoring equipment.

This purchase signals a shift by Ampcontrol into the core business of energy, including power quality products, green technology and power distribution.

Ampcontrol currently employs more than 600 people at 15 sites around Australia. Recently it announced expansion by investment in New Zealand as well as the opening of offices in China.