Scalare Partners is set to acquire Tank Stream Labs, a leading flexible workspace provider for tech companies, in a $5.5 million deal that deepens its engagement with early-stage technology startups. The acquisition, pending shareholder approval, aims to broaden Scalare’s service offerings and accelerate growth within Australia’s tech ecosystem.
- Acquisition of Tank Stream Labs for $5.5 million including cash, shares, and deferred payments
- Tank Stream Labs expected to generate $15 million revenue and be EBITDA positive in FY26
- Tank Stream CEO Bradley Delamare to remain and lead growth initiatives post-acquisition
- Deal completion contingent on shareholder approval and capital raising by late August 2025
- This marks Scalare’s fourth acquisition since April 2023, reinforcing its tech ecosystem strategy
Strategic Expansion into Tech Workspaces
Scalare Partners (ASX – SCP) has announced an agreement to acquire Tank Stream Labs, a prominent flexible office space and service provider tailored specifically for Australia’s technology sector. This move represents a significant step in Scalare’s ongoing strategy to embed itself more deeply within the early-stage tech ecosystem by broadening its service offerings and client base.
Tank Stream Labs, led by CEO Bradley Delamare, operates seven locations across Sydney, Melbourne, and Adelaide, hosting over 200 companies ranging from startups to scale-ups and corporate clients. The company’s focus on technology-driven workspaces aligns closely with Scalare’s mission to empower tech founders and entrepreneurs.
Financial and Operational Outlook
The acquisition consideration totals $5.5 million, comprising $3 million in cash, $1.5 million in escrowed Scalare shares, and $1 million in deferred payments tied to FY26 profit milestones. Tank Stream Labs is projected to generate approximately $15 million in revenue and be EBITDA and cashflow positive in FY26, reflecting strong growth from an estimated $12.1 million revenue in FY25.
Under Delamare’s leadership, Tank Stream has expanded its footprint and invested heavily in infrastructure and team capabilities, positioning it well for future growth. Scalare expects to leverage Tank Stream’s extensive network to unlock new revenue streams, including fractional executive services, digital advisory, and accelerator programs.
Integration and Strategic Fit
Scalare’s CEO Carolyn Breeze highlighted the acquisition as a milestone that enhances the company’s ability to support technology entrepreneurs at every stage. The integration of Tank Stream Labs into Scalare’s ecosystem is anticipated to create synergies across investment, services, and infrastructure, strengthening Scalare’s position as a leading accelerator and ecosystem partner.
Importantly, Bradley Delamare will remain at the helm of Tank Stream Labs, ensuring continuity and leadership as the business scales within the Scalare group. This cultural and strategic alignment is a key factor in the acquisition’s expected success.
Looking Ahead
The acquisition is subject to shareholder approval and the successful completion of a capital raise, with a meeting scheduled around 25 August 2025. This deal marks Scalare’s fourth acquisition since April 2023, following earlier purchases of Inhouse Ventures, Tech Ready Women, and the Australian Technologies Competition, underscoring its commitment to building a comprehensive tech ecosystem.
As Scalare continues to pursue complementary acquisitions and deepen its engagement with early-stage tech companies, investors will be watching closely to see how these strategic moves translate into growth and value creation.
Bottom Line?
Scalare’s acquisition of Tank Stream Labs signals a bold push to dominate Australia’s tech startup ecosystem, but execution risks remain ahead.
Questions in the middle?
- Will Scalare secure shareholder approval and capital raise to complete the acquisition on schedule?
- How effectively will Tank Stream Labs integrate operationally and culturally within Scalare’s ecosystem?
- What new revenue streams and investment opportunities will emerge from this expanded tech network?