RPC Group PLC Pre Close Trading Statement (9468A)
March 30 2017 - 2:00AM
UK Regulatory
TIDMRPC
RNS Number : 9468A
RPC Group PLC
30 March 2017
30 March 2017
RPC Group Plc
Pre Close Trading Statement
RPC Group Plc ("RPC" or the "Group"), a leading plastic products
design and engineering company for both packaging and selected
non-packaging markets, today issues a pre close trading statement
for the financial year ending 31 March 2017 ahead of its full year
results announcement, due to be published on 7 June 2017.
Trading performance
Revenues for the financial year 2016/2017 are anticipated to be
significantly ahead of last year, reflecting contributions from
acquisitions and continued underlying organic growth. The Group's
overall performance has been encouraging with the adjusted
operating profit for the year ahead of management expectations.
The Group's financial position remains robust with good cash
flow development. The net proceeds of the rights issue announced on
9 February 2017 have been received and following completion of the
Letica acquisition the Group retains significant headroom under its
debt facilities, which include a new US$750 million multi-currency
term loan facility.
Acquisitions and integration update
The larger acquisitions of GCS (completed March 2016) and BPI
(completed August 2016) have integrated well and are performing
ahead of expectations. Key management has been retained with GCS
operating as a Strategic Business Unit ("SBU") in the Bramlage
division and BPI as a stand-alone division.
With respect to the other previously announced acquisitions, the
following update can be given:
-- the acquisition of ESE completed on 31 January and
accordingly is anticipated to make a contribution to the 2016/17
financial year. The company is operating as a stand-alone SBU in
the Promens division and early purchasing synergies have already
been realised;
-- the acquisition of Letica Group completed on the 10 March.
With an EBITDA of US$67m realised in the calendar year 2016, the
upfront consideration of US$490m paid for the business represents
an 7.3x EBITDA multiple. Letica management are being retained and
it will operate as a stand-alone SBU within the Superfos Division.
The limited Integration work required is already under way;
-- the acquisition of Astrapak Limited is expected to be
completed in June with the CEO and the executive management team
being retained.
Commenting on the performance, Pim Vervaat, RPC's Chief
Executive, said:
"I am pleased with the Group's trading performance during the
year and the successful integration of the acquired businesses. The
board will continue to implement the Vision 2020 focused growth
strategy, in which leading design and engineering capabilities
create value in chosen market segments. At the same time the Group
is looking to grow selectively in a consolidating industry whilst
further enhancing its strategic buying position."
For further information:
RPC Group Plc: +44 (0)1933 410064
Pim Vervaat, Chief Executive
Simon Kesterton, Group Finance Director
FTI Consulting: +44 (0)20 3727 1340
Richard Mountain
Nick Hasell
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTJLMRTMBMTBTR
(END) Dow Jones Newswires
March 30, 2017 02:00 ET (06:00 GMT)
Rpc (LSE:RPC)
Historical Stock Chart
From Mar 2024 to Apr 2024
Rpc (LSE:RPC)
Historical Stock Chart
From Apr 2023 to Apr 2024