Acquisition of Australian Lift Components

Dewhurst PLC 4 February 2000 Dewhurst plc Acquisition of Australian Lift Components Dewhurst plc has reached agreement to the purchase of Australian Lift Components (ALC) for a consideration of £1.7 million. ALC is based in Sydney, Australia. Its business is fundamentally the same as that of existing Dewhurst subsidiaries Dupar Controls (Canada) and The Fixture Company (USA). It manufactures and sells a range of lift components for the Australian market. The majority of sales are of pushbutton control panels for lifts. Geographically the major part of ALC's sales are in its home state of New South Wales and there are opportunities to expand the company's customer base through Australia. We believe that the management of ALC will benefit from being part of a larger group and from having access to Dewhurst products, development and commitment to the lift industry. Adding ALC to the Dewhurst Group will give us the opportunity to improve the service we are able to provide to our Australian customers and expand the range of products we are able to offer. The purchase satisfies our stated strategy of having a network of companies around the world configuring products to local customers requirements. In the year ended 30th June 1999 ALC generated profit before tax of £381,000 (1998: £313,000) on turnover of £1.9 million (1998: £1.6 million). At 30th June 1999 ALC had net assets of £241,000. The consideration is being satisfied in cash, partly from the Company's cash reserves and partly through a £1 million bank loan, denominated in Australian dollars. ALC is currently run by General Manager, Chris Carroll. He will become Managing Director of the new subsidiary and will have a 2 year service contract. 4 February 1999
UK 100

Latest directors dealings