Acquisition of Roxspur

RNS Number : 1659M

TT electronics PLC

14 July 2014

 

14 July 2014                                                                                                                                        

TT Electronics plc

Acquisition of Roxspur Measurement & Control Limited

TT Electronics plc ("TT" or the "Group"), an innovative global electronics company supplying world leading manufacturers, today announces the acquisition of Roxspur Measurement & Control Limited ("Roxspur").

Roxspur is a leading UK supplier of temperature, flow, pressure and level sensors, together with calibration services, for critical applications serving global customers in segments including oil and gas, power generation, water management and materials processing.  The acquisition, which will form part of the Sensing and Control division, accelerates TT's strategy to develop its position in attractive industrial markets, including process control, complementing the Group's existing technologies and products and providing a platform for future growth.  

Initial consideration of £7.5m was paid in cash with a further amount of up to £2.5m payable in cash in 2016 based on the performance of the business in the period from completion to 31 December 2015.  The consideration is subject to adjustment based on the net assets delivered.  The acquisition will be immediately earnings enhancing.  Based on management accounts for the 12 months to 30 June 2014, Roxspur achieved sales of £8.2m and an operating profit of £0.9m. 

Commenting on the acquisition Richard Tyson, Group Chief Executive, said today:

"We have a clear strategy to achieve sustainable organic growth and further improve margins.  We are actively looking for opportunities to accelerate this organic development with complementary acquisitions, including in industrial sensing and control. Roxspur brings us new customers and additional capabilities; integrated with our Sensing and Control operations, Roxspur will support further investment in our strategic objectives.

We look forward to working with all of the employees at Roxspur to develop the business and I would like to take this opportunity to welcome them to the Group"

Enquiries:

TT Electronics plc Richard Tyson, Group Chief Executive Shatish Dasani, Group Finance Director	Tel:  [phone]
Hudson Sandler Andrew Hayes/Wendy Baker/Katie Matthews	Tel:  [phone]

Note:

This statement contains certain forward-looking statements.  Such statements are made by the Directors in good faith based on the information available to them at the time of the announcement and they should be treated with caution due to the inherent uncertainties underlying any such forward-looking information.

 

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