Spirax-Sarco Engineering PLC Spirax Sarco acquires assets of Hiter for £3.9 m (5656G)
August 09 2016 - 2:05AM
UK Regulatory
TIDMSPX
RNS Number : 5656G
Spirax-Sarco Engineering PLC
09 August 2016
August 9th 2016
Spirax Sarco acquires the assets of Brazilian valve manufacturer
for GBP3.9 million
Spirax-Sarco Engineering plc, the world leader in the control
and efficient use of steam, and in peristaltic pumping and
associated fluid path technologies, announces that on July 1(st) it
acquired the assets of the process control valve manufacturer,
Hiter Indústria e Comércio de Controles Termo-Hidráulicos Ltda
(Hiter), based in Sorocaba, Brazil. Hiter was a subsidiary of
Pentair plc, which is listed on the New York Stock Exchange.
Hiter is highly synergistic with Spirax Sarco's successful
Brazilian steam and process fluid applications business. The Hiter
brand has a well established reputation in Brazil with a large
installed base and had net sales of over GBP7 million in 2015.
Following the acquisition, Spirax becomes the only significant
manufacturer of both control and safety valves in Brazil.
Hiter has undergone significant change in recent years as part
of Pentair's Valves & Controls segment, resulting in a December
2015 announcement to close the company effective March 2016. The
assets have been acquired by a new Spirax subsidiary, Hiter
Controls Engenharia Ltda, which will commence trading in the fourth
quarter of 2016. It is anticipated that the start-up and
pre-operating losses incurred in 2016 will reach GBP1.2 million on
negligible sales. After re-establishing Hiter's market position
during 2017, this business is forecast to make a positive
contribution to Group earnings from 2018.
The total purchase consideration of GBP3.9 million was paid in
cash from existing Group resources.
Enquiries:
Nicholas Anderson, Group Chief Executive
Kevin Boyd, Group Finance Director
Tel: 01242 535234
About Spirax Sarco
Spirax-Sarco Engineering plc is the world leader in each of its
two businesses, Spirax Sarco for steam specialties and
Watson--Marlow Fluid Technology Group for niche peristaltic pumps
and associated fluid path technologies. The steam specialties
business provides a broad range of fluid control products,
engineered packages, site services and systems expertise for a
diverse range of industrial and institutional customers. The
company helps its customers to improve production efficiency,
reduce energy costs, water usage and emissions, improve product
quality and enhance the safety of their operations. Watson-Marlow
Fluid Technology Group offers the ideal solution for a wide variety
of demanding fluid path applications with highly accurate,
controllable and virtually maintenance free pumps and associated
technologies. The Group is headquartered in Cheltenham, England,
has strategically located manufacturing plants around the world and
employs approximately 4,800 people, of whom over 1,300 are direct
sales and service engineers. Its shares have been listed on the
London Stock Exchange since 1959 (symbol: SPX).
Further information can be found at
www.spiraxsarcoengineering.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
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