Acquisition

RNS Number : 5905G

Smiths Group PLC

13 May 2011

 

 

News Release

London, 13 May 2011

For immediate release

SMITHS DETECTION BUYS ITS BRAZILIAN DISTRIBUTOR

Smiths Detection, a division of global technology business Smiths Group, has purchased its Brazilian distributor from EBCO Systems Limited to take direct control over sales of its advanced security and detection products in one of the world's fastest-growing economies.

EBCO, based in Sao Paulo, has been the exclusive distributor for Smiths Detection in Brazil since 1994, selling and servicing a wide range of X-ray and trace detection systems to customs authorities, airports, and prisons.

The new company, called Smiths Detection Brazil, will comprise the sales and service organisation of EBCO's security and detection side and will employ about 55 people. The purchased company's gross assets totalled $2m.  EBCO's separate airfield lighting business is unaffected.

Cherif Rizkalla, Chief Commercial Officer of Smiths Detection, said: "EBCO has been an outstanding partner for us in Brazil over the years and its full integration into Smiths Detection's global business will strengthen our position as the country's leading supplier of detection solutions."

Philip Bowman, Chief Executive of Smiths Group, said: "Brazil is one of the biggest and fastest-growing economies in the world. The acquisition gives us direct control over a well-established sales and service network to leverage long-term value from the expanding market and allow us to maximise in-country profits."

Smiths Detection systems are deployed throughout the vast country, from airports and ports in major cities such as Sao Paulo and Rio de Janeiro to remote border crossings in the Amazon.

Smiths Group

Smiths is a global technology company listed on the London Stock Exchange (SMIN) and operates a sponsored level one ADR programme (SMGZY). A world leader in the practical application of advanced technologies, Smiths Group delivers products and services for the threat & contraband detection, medical devices, energy and communications markets worldwide. Our products and services make the world safer, healthier and more productive. Smiths Group employs more than 23,000 people in over 50 countries. For more information visit www.smiths.com

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