Acquisition of Deltrona
July 15 2005 - 2:00AM
UK Regulatory
RNS Number:8942O
Deltron Electronics PLC
15 July 2005
For Immediate Release 15 July 2005
DELTRON ELECTRONICS plc
ACQUISITION OF DELTRONA
Deltron Electronics plc (LSE : DET), the specialist European electromechanical
solutions provider, is pleased to announce today that it has entered into a
contract to acquire Deltrona Vertriebsgesellschaft fur elektronische Bauelemente
mbH of Germany a specialist distributor of electromechanical components to the
manufacturing industry, for an aggregate consideration of #2.5 million.
The acquisition will be satisfied by #2.5 million in cash at completion which is
subject to agreement of the completion accounts which are expected to be agreed
by 15th September 2005. Net assets at completion are projected as #1.1million
including #0.3million of cash.
Deltrona, which was founded in 1975 operates from Stuttgart which is
complimentary to Deltron's existing presence in Munich. Deltrona had turnover of
#4.7 million for the year ended 31st December 2004 and reported a profit before
interest and tax of #180,000. Deltrona is a well established German regional
distributor, principally for Molex and Amphenol connector products which are the
World's number 2 and 3 leading connector manufacturers. Deltrona supplies these
products to a broad and well established customer base of leading German
industrial businesses.
It is Deltron's intention to retain and develop a Stuttgart sales and marketing
organisation and initially promote Molex and Amphenol product ranges plus
supporting products throughout the whole of Germany and Austria instead of the
present regional base.
The acquisition of Deltrona will be earnings enhancing in the year to 30th
September 2006.
Christopher Sawyer, Chief Executive Officer of Deltron, said:
"I am delighted with this acquisition which gives Deltron a stronger market
position in Germany and fortifies the Company's position as a leading European
provider to the electronic components market. Together with its long
established presence in Stuttgart Deltrona provides Deltron with an increased
German customer base and range of products, new revenue opportunities and
combines mutually beneficial skill sets. We look forward to the successful
integration of Deltrona into the enlarged Deltron Group."
For more information please contact:
Deltron Electronics plc
Christopher Sawyer, Chief Executive Officer 01638 561156
Buchanan Communications
Tim Anderson or Mary-Jane Johnson 020 7466 5000
Notes to Editors
About Deltron
The Deltron Group is a leading European, value-added electromechanical component
distributor providing specialist design-in sales and marketing services for
international suppliers of electronic components. Deltron's value-added
approach and geographical coverage provides specialist knowledge and support to
customers on a pan-European basis. These services are supported by dedicated
in-house manufacturing.
Design-in is the process by which Deltron's sales engineers work with customers
and suppliers to provide solutions which meet the specific technical and
performance needs of the customers.
Deltron is fully quoted on the London Stock Exchange and has operating companies
in the UK, Ireland, Netherlands, Austria, Germany, France, Italy, Sweden, Norway
and Denmark.
For further information contact:
Deltron Electronics plc, Cheveley House, Fordham Road, Newmarket, Suffolk,
CB8 7XN. Tel: 01638 561156 Fax: 01638 661455
This information is provided by RNS
The company news service from the London Stock Exchange
END
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