Essentra plc Divestment of Extrusion business (7900B)
June 11 2019 - 2:01AM
UK Regulatory
TIDMESNT
RNS Number : 7900B
Essentra plc
11 June 2019
ESSENTRA PLC
DIVESTMENT OF EXTRUSION BUSINESS
Essentra plc ("Essentra" or the "Company") today announces the
divestment of its Extrusion business to Inter Primo A / S (the
"Transaction"). The Transaction values Extrusion at EUR16.2m
(approximately GBP14.4m), free of cash and debt.
The consideration, which is subject to customary adjustments for
net debt and working capital, has been satisfied fully in cash. The
Board intends to use the proceeds to further strengthen Essentra's
balance sheet.
The Extrusion business forms part of Essentra's Specialist
Components division. For the year ended 31 December 2018, Extrusion
delivered operating profit of GBP1.2m.
Commenting on today's announcement, Paul Forman, Chief Executive
said:
"The sale of Extrusion not only represents good value for
Essentra's shareholders, but also provides the business with a
strong platform for future successful growth given Inter Primo's
established presence in the extrusion industry. We wish the
business every success in the future."
Enquiries
Essentra plc Tulchan Communications LLP
Joanna Speed, Investor Relations Martin Robinson
Director Lisa Jarrett-Kerr
Lucy Yank, Group Communications Sophia Martin-Pavlou
Director Tel: +44 (0)20 7353 4200
Tel: +44 (0)1908 359100
Notes to Editors
About Essentra plc
Essentra plc is a FTSE 250 company and a leading global provider
of essential components and solutions. Organised into four
divisions - reflecting the Company's strategic review - Essentra
focuses on the light manufacture and distribution of high volume,
enabling components which serve customers in a wide variety of
end-markets and geographies.
Essentra Components
Essentra Components is a global market leading manufacturer and
distributor of plastic injection moulded, vinyl dip moulded and
metal items. Operating in 28 countries worldwide, twelve
manufacturing facilities and 29 logistics centres serve more than
85,000 customers with a rapid supply of low cost but essential
products for a variety of applications in industries such as
equipment manufacturing, automotive, fabrication, electronics and
construction.
Essentra Packaging
Essentra Packaging is one of only two multicontinental suppliers
of a full secondary packaging range to the health and personal care
sectors, with 22 facilities across four geographic regions. The
division's innovative products include cartons, leaflets,
self-adhesive labels and printed foils used in blister packs, which
help customers to meet the rapidly-changing requirements of these
end-markets and can also be combined with Essentra's authentication
solutions to help the fight against counterfeiting.
Essentra Filters
Essentra Filters is the only global independent cigarette filter
supplier. The seven worldwide locations, plus a dedicated
Technology Centre supported by three regional development
facilities, provide a flexible infrastructure strategically
positioned to serve the tobacco sector. The business supplies a
wide range of value-adding high quality innovative filters,
packaging solutions to the roll your own segment and analytical
laboratory services for ingredient measurement to the industry:
Essentra's offering also includes e-cigarette and Heat Not Burn
solutions to the rapidly evolving market for Next Generation
Products.
Essentra Specialist Components
Essentra Specialist Components comprises the Company's four
smaller businesses and these activities largely have strong
positions in the markets in which they operate.
The Speciality Tapes business has expertise in coating multiple
adhesive systems in numerous technologies, with approximately 1,200
tape products stocked for same-day shipping predominantly for
retail point of purchase, appliance and industrial
applications.
The Tear Tapes business is globally recognised as the leading
manufacturer and supplier of pressure-sensitive tear tapes, which
are largely used in the tobacco, food and drink and specialist
packaging sectors.
The Industrial Supply business provides a wide range of branded
hardware supplies to a broad base of industrial customers, largely
located in the US Mid-West.
The Card Solutions business is a leading European provider of ID
card printers, systems and accessories to direct and trade
customers.
Headquartered in the United Kingdom, Essentra's global network
extends to 33 countries and includes c. 8,000 employees, c. 45
principal manufacturing facilities, c. 30 sales & distribution
operations and 4 research & development centres. For further
information, please visit www.essentraplc.com.
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END
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