Senior plc Acquires Thermal Engineering Holding Ltd
Senior plc ("Senior") is pleased to announce that it has acquired 100% of the issued share capital of Thermal Engineering Holding Ltd ("Thermal") from Privet Capital and a number of associated individual shareholders.
Thermal is an aerospace components manufacturer, supplying global aero-engine and airframe OEM's and their Tier 1 suppliers. Located in Royston, Hertfordshire, Thermal specialises in manufacturing hot and cold formed components, complex fabricated assemblies and thermal insulation heat shields and systems.
The total consideration, paid in cash at completion and funded through the utilisation of existing cash and debt facilities, was £28.3m, including the repayment of £6.5m of debt in the business at acquisition.
For the ten months to the end of October 2013, Thermal's unaudited management accounts show sales of £14.5m, normalised profit before interest, tax and depreciation of £2.2m and gross assets of £11.7m. The acquisition is expected to be immediately earnings enhancing.
The company employs 240 people and the existing management team will continue to manage the business, which will operate within Senior's Aerospace Fluid Systems Division.
Commenting on the acquisition, Mark Rollins, Senior's Group Chief Executive, said:
"I am very pleased to announce the acquisition of Thermal and to welcome all of its employees to the Senior Group. Thermal represents an excellent addition to Senior's Aerospace Fluid Systems Division, providing additional capability to the Group in the areas of Hot Forming and Insulation. Thermal's capabilities, combined with Senior's wider market access and financial strength and the current healthy commercial aerospace markets, are expected to further enhance the future growth prospects for the Senior Group."