Halma PLC Acquisition (1766V)
November 01 2017 - 2:00AM
UK Regulatory
TIDMHLMA
RNS Number : 1766V
Halma PLC
01 November 2017
Halma plc
ACQUISITION OF MINI-CAM ENTERPRISES LIMITED AND SUBSIDIARIES
Halma, the leading safety, health and environmental technology
group, today announces an acquisition within the Group's
Environmental & Analysis sector.
Halma completed the acquisition of Mini-Cam Enterprises Limited
("Mini-Cam") on 31 October 2017 from Lloyds Development Capital
("LDC") and a group of private shareholders.
Mini-Cam, headquartered in Lancashire UK, specialises in
pipeline inspection solutions for waste water systems in the UK and
internationally. Mini-Cam's remotely-operated products and software
enable utilities to identify leakages, blockages and potential
ingress in waste water networks, thereby helping them to improve
customer service levels and compliance with environmental
regulations.
The initial cash consideration is GBP62.0 million on a cash- and
debt-free basis. Earn-out consideration, capped at GBP23.1 million,
is payable in cash based on annualised profit growth up to the end
of March 2020.
Mini-Cam's consolidated audited accounts for the year ended 31
January 2017 show Adjusted EBIT of GBP5.2 million under Halma
reporting (see note 4).
The management team of Mini-Cam will continue to operate the
business out of its current locations.
The acquisition, which is expected to be immediately earnings
enhancing, was funded from Halma's existing cash and debt
facilities.
Andrew Williams, Halma's Chief Executive, commented:
"Mini-Cam is a great fit with the water technologies we have
already within our Environmental & Analysis sector and provides
new opportunities for commercial and technical collaboration. It is
meeting the growing need from utilities for monitoring sewage and
waste water networks, as aging infrastructure and increasing
amounts of waste result in customer service challenges and
potential non-compliance with environmental regulations. We are
looking forward to working with Mini-Cam's management team to
continue to build the business in the UK and internationally, as
well as potentially adding new technologies to the current product
offering."
For further information please contact:
Halma plc
Tel: +44 (0) 1494 721111
Andrew Williams, Chief Executive
Kevin Thompson, Finance Director
MHP Communications
Tel: +44 (0) 20 3128 8100
Rachel Hirst/Andrew Jaques
Notes
1. Halma buys successful businesses in safety, health and
environmental markets and helps them grow further through
investment targeted towards increasing innovation, management
development and international expansion. In the past 10 years Halma
has spent approximately GBP700 million acquiring nearly 30
businesses with deal sizes ranging from GBP1 million up to GBP100
million. (www.halma.com)
2. Mini-Cam specialises in the manufacture and global
distribution of Industry renowned pipeline inspection solutions, to
visually monitor waste water systems and create standards-compliant
inspection data. Customers use Mini-Cam's robust and reliable
Camera Crawler and Push Camera systems to ensure structural
integrity of pipeline networks through routine, and emergency,
inspection and detection of flaws and obstructions. The
technologically advanced, feature rich, modular systems are built
to perform in challenging environments including oil, gas,
petrochemical and engineering sectors.
Headquartered in Golborne, Lancashire UK with a purpose-built
manufacturing facility in Austria, the company has over 50
employees and a worldwide network of 35 dealers. Mini-Cam is
perfectly positioned to continue its structured research,
development and manufacture of new technologies to support the
growing need for inspection of the aging infrastructure of waste
water networks, which are becoming increasingly prone to leaking
and blockage.
Further information on Mini-Cam can be found on its website
www.minicam.co.uk
3. In the UK, fines for illegal sewage discharges have soared
since changes to sentencing guidelines in 2014; earlier this year,
a major utility was fined GBP20m in a case prosecuted by the
Environment Agency.
The use of sanitation networks globally has increased over the
last 20 years, but there are still significant gains to be made.
Since 1990, 2.1 billion people have gained access to improved
sanitation, while 2.4 billion people remain without access to
proper sanitation systems. Lack of access to safe water and
sanitation systems are among the leading causes of child mortality
and morbidity.
4. Adjusted Earnings Before Interest & Taxation (EBIT)
excludes the amortisation of acquired intangible assets and
non-recurring fees.
5. This statement is not intended to constitute a profit
forecast for the current financial period or for any future period.
In addition, this statement should not be taken to mean that the
earnings per share of Halma will necessarily match or exceed the
historic reported earnings per share of Halma.
6. Halma intends to announce its half year results on 21 November 2017.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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