Axis designs and builds specialised geospatial instrumentation, data and drilling tools for drill-hole navigation and measurement. 

The acquisition will integrate with Orica's Digital Solutions platform to provide what Orica claims is an industry first integrated, end-to-end, mine to mill solutions provider.

With Axis' geospatial technology at hand Orica has exposure to a broader commodity mix including gold and copper.

The acquisition price includes the upfront $260 million plus a deferred earn-out payment up to $90 million, which is conditional on financial performance and Axis' cumulative earnings before income, tax, depreciation and amortisation between October 2022 and December 2024.

Orica is expected to fund the acquisition through a $650 million institutional share placement and a $75 million non-underwritten share purchase plan. 

As part of the deal Orica will retain Axis' management team.

Orica managing director and CEO Sanjeev Gandhi welcomed Axis into Orica.

"This strategic acquisition further strengthens our existing digital solutions vertical and expands our orebody intelligence portfolio upstream," he said.

"Orica's purpose is to sustainably mobilise the earth's resources and achieving this starts with a better understanding of the orebody at the start of the mining value chain."

Gandhi said Axis' differentiated geospatial tools and instruments, combined with Orica's existing suite of digital solutions, would provide compelling orebody intelligence to customers and support the delivery of the industry's first end-to-end solutions platform, from mine to mill.

"The integration of Axis' technology and expertise will accelerate our ability to support our customer's digital transformation efforts around the world, helping them to operate more efficiently, sustainably and safely," he said.

"In addition to facilitating the acquisition, the equity raising will allow Orica to fund incremental trade working capital requirements arising as a result of global supply chain dislocations, and also provide additional balance sheet capacity."