Acquisition

RNS Number : 3352F

Filtrona plc

14 June 2012

 



14 June 2012

FILTRONA PLC

A leading international supplier of speciality plastic, fibre and foam products

ACQUISITION OF LYMTECH SCIENTIFIC IN POROUS TECHNOLOGIES

Filtrona plc ("Filtrona" or "the Company") today announces that it has acquired 100% of the share capital of John R. Lyman Company and Big Blue Properties LLC (together "Lymtech Scientific") from William Wright and an associated family trust for a cash consideration of US$45.3m, subject to customary adjustments.  Lymtech Scientific has been acquired on a debt-free basis, and the transaction was funded from the Company's existing facilities.

Based in the US, Lymtech Scientific is a manufacturer and distributor of porous speciality wiping materials used within the clean environments increasingly required by the medical, life science, electronic and industrial markets.  The acquisition of Lymtech Scientific not only adds complementary technology in a growth segment to Porous Technologies, but also enhances the commercial capability of the division through the addition of a distribution selling channel.

For the year ended 30 September 2011, Lymtech Scientific generated revenue of US$28.7m and earnings before interest, depreciation and amortisation ("EBITDA") of US$5.7m.  For the year ending 30 September 2012, Lymtech Scientific's current estimates indicate revenue in the region of US$30m and EBITDA of around US$6m.  The transaction will be immediately earnings enhancing to Filtrona, and will be reported under the Company's Porous Technologies division.

Commenting on today's acquisition, Colin Day, Chief Executive, said:

"The acquisition of Lymtech not only extends our porous fibre manufacturing technology, but also gives us access to the attractive growth and higher value cleanroom and controlled environment wipes market.  In addition, through leveraging the global commercial and operational resources of our Porous Technologies division, there is a real opportunity to expand the Lymtech business geographically into the sizeable Asian and European cleanroom wipes markets."

Enquiries

Filtrona plc Joanna Speed, Corporate Affairs Director Tel: [phone]

Buchanan Richard Oldworth Jeremy Garcia Catherine Breen Tel: [phone]

About Filtrona plc

Filtrona plc ("Filtrona" or "the Company") is a FTSE 250 company and a leading international supplier of speciality plastic, fibre and foam products.  Through its four principal operating divisions, Filtrona focuses on the light manufacture and distribution of high volume, essential components which serve customers in a wide variety of end-markets and geographies.

Protection & Finishing Products

A global market leading supplier of protection and finishing products, manufacturing and distributing plastic injection moulded, vinyl dip moulded, and metal items as well as pressure sensitive tapes. The division has 60 operating units in 21 countries serving a very broad industrial base of customers with a rapid supply of primarily plastic products for protection and finishing applications in industries such as hydraulics, pneumatics, oil and gas, electrical controls, point of purchase and tubular metal products.

Porous Technologies

A global market leading developer and manufacturer of custom fluid handling components, engineered from a portfolio of technologies that includes bonded fibre, polyurethane foam, and porous plastic.  Representing leading innovations used in healthcare, consumer and industrial applications, its enabling components are found in a wide range of products from medical diagnostics tests to advanced wound care pads, inkjet printer cartridges, writing instruments and air fresheners.  Customers in over 56 countries are served from six manufacturing facilities with research and development centres supporting the division globally.

Coated & Security Products

The global market leading producer of high quality self-adhesive tear tape and a growing supplier of labels, products and technologies for the consumer packaging, identity and valuable documents markets. Customers in over 100 countries are served from facilities operating in six countries.  The division also includes plastic profile extrusion activities in The Netherlands.

Filter Products

The only global independent cigarette filter supplier.  The nine worldwide locations, including a UK-based research facility and three regional development centres provide a flexible infrastructure strategically positioned to serve the tobacco industry.  The division supplies a wide range of value adding high quality innovative filters, packaging solutions to the roll your own sector and analytical laboratory services for ingredient measurement for the industry. Headquartered in the United Kingdom, Filtrona's global network extends to 28 countries and includes c. 4,000 employees, 34 principal manufacturing facilities, 63 sales & distribution operations and 5 research & development centres. The Company's strategy - called Vision 2015 - seeks to maximise shareholder value through the delivery of balanced profitable growth in both its existing and future opportunity markets and technologies, with the objective of delivering at least mid single-digit like-for-like revenue growth and double-digit adjusted EPS growth at constant exchange.  The strategy also calls for strong conversion of profit into cash and a progressive dividend policy.  The Company looks to complement this balanced organic growth with value-adding acquisitions. For further information, please visit www.filtrona.com

 

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