Halma plc Acquires Argus Security S.r.l.
On 20 December 2017, Halma, the leading safety, health and environmental technology group, completed the simultaneous acquisitions of Argus Security S.r.l. ('Argus') and its UK-based distributor Sterling Safety Systems Limited ('Sterling') from management and private shareholders.
Argus, based in Trieste, Italy, is a leading manufacturer of wireless fire systems, including detectors, call points, sounders, beacons and modules. Sterling is the exclusive distributor of Argus wireless devices into the UK market under the Hyfire brand.
The combined cash consideration is £21 million on a cash and debt-free basis. The combined revenue, for the year ending 31 December 2016 was £13 million.
The acquisition, which is expected to be immediately earnings enhancing, was funded from Halma's existing cash and debt facilities.
The Argus and Sterling management team will continue to operate the business from its current locations. The two companies will be managed as a single Halma business as part of the Infrastructure Safety sector.
Andrew Williams, Halma's Chief Executive, commented:
"The global demand for wireless fire systems in commercial and industrial applications is increasing rapidly. The acquisitions of Argus and Sterling will further strengthen our Fire businesses' wireless capabilities and accelerate future product development. There is an excellent strategic fit with our existing portfolio, as we move towards increasingly connected and integrated fire safety systems in buildings."