Carr's Group PLC Acquisition of STABER GmbH (4147N)
October 25 2016 - 7:33AM
UK Regulatory
TIDMCARR
RNS Number : 4147N
Carr's Group PLC
25 October 2016
25 October 2016
Carr's Group plc
"Carr's" or the "Group"
Acquisition of STABER GmbH
Carr's, the Agriculture and Engineering Group, announces the
acquisition and completion of STABER GmbH ("STABER" or the
"Company"), for a total cash consideration of EUR7.85 million
(GBP6.98 million), and after adjusting for estimated net cash
within the Company at completion, a net consideration of EUR6.75
million (GBP6.00 million) (the "Acquisition").
STABER, formally called Städele GmbH, is a family owned
engineering business located near the Group's existing German
operations in Markdorf.
STABER and Wälischmiller Engineering GmbH, a subsidiary of
Carr's Engineering Ltd, have been working together closely for over
50 years and STABER has most recently been a key supplier of parts
for the remote handling business. During 2014 and 2015 STABER was
intrinsic in assisting Wälischmiller in the development of the Demo
2000 Telbot(R), a robotic system for vessel inspection and cleaning
in the oil and gas market, and the first in the world to be
certified for use in the most highly explosive of environments.
STABER has designed and developed specialised intellectual property
("IP") which will be strategically beneficial to Wälischmiller in
both the near and long term. This IP will accelerate the ongoing
strategic development work on the Telbot(R) and the Demo 2000
Telbot(R) by Wälischmiller.
STABER will be fully integrated into Wälischmiller over the next
18 months, enhancing efficiencies and providing technological
growth opportunities across the remote handling business of the
Group. To ensure the successful integration and transfer of the IP,
EUR2.0 million of the total consideration will be deferred, until
at the latest 31 June 2018.
Highlights and strategic rationale of the Acquisition
-- STABER is a long term strategic partner of Wälischmiller,
having jointly developed multiple products over the past fifty
years.
-- The Acquisition will provide the Group with specialised IP
relating to high quality, niche robotics and design technology.
-- STABER's IP will advance Wälischmiller's ongoing product
development in the global nuclear, oil & gas and defence
industries.
-- Combining STABER and Wälischmiller is expected to generate
certain cost and operational synergies.
-- STABER will provide the Group with access to new technologies
and engineering design expertise.
-- The Acquisition is in line with Carr's strategy of being at
the forefront of innovation and technology.
For the year ended 31 December 2015, STABER recorded adjusted
EBITDA of EUR0.67 million and the adjusted gross assets of STABER
as at 31 December 2015 were EUR1.76 million. The Acquisition is
expected to be earnings neutral in the first year and enhancing
thereafter.
The total consideration is being satisfied by the Group's
existing resources following the Group's disposal of the Food
division, announced on 5 September 2016. The Group expects this
acquisition to enhance the capability of Wälischmiller and its long
term operational performance.
Tim Davies, Chief Executive, commented:
"We are delighted to announce the acquisition of STABER. This
family run business has been a key partner of Wälischmiller for
over half a century and this acquisition is a seamless extension of
this long standing relationship.
"Carr's will benefit from the introduction of new technologies
into the Group as well as the operational synergies that will come
from this acquisition. This purchase is fully aligned with the
Engineering division's growth strategy of capitalising on the
global resurgence of nuclear decommissioning as well as the use of
robotic technologies in highly explosive environments.
"We welcome the STABER team to Carr's and look forward to
working with them in the months and years ahead."
Enquiries:
Carr's Group plc Tel: +44 (0) 1228 554
600
Tim Davies (Chief Executive)
Neil Austin (Group Finance
Director)
Powerscourt Tel: +44 (0) 20 7250
1446
Nick Dibden
Lisa Kavanagh
Harriet O'Reilly
About Carr's Group plc:
Carr's is an international leader in manufacturing value added
products and solutions with market leading brands and robust market
positions in the Agriculture and Engineering sectors. The Group
offers a range of services including the manufacturing and supply
of feed blocks for livestock, farm machinery, a UK network of rural
stores and robotic and remote handling equipment, with a facility
footprint spanning the UK, Europe and North America, supplying
customers in 35 countries around the world.
For further information, please visit: www.carrsgroup.com
About STABER GmbH:
For further information, please visit:
www.staedele-feinmechanik.de
This information is provided by RNS
The company news service from the London Stock Exchange
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October 25, 2016 07:33 ET (11:33 GMT)