Trading Update, Notice of Results and Investment

RNS Number : 0140Z

Avingtrans PLC

20 January 2022

 

20 January 2022

Avingtrans Plc

("Avingtrans", the "Company", or the "Group")

Trading Update, Notice of Results and Strategic Investment

Avingtrans PLC (AIM: AVG), which designs, manufactures and supplies critical components, modules, systems and associated services to the energy, medical and industrial sectors, is pleased to announce business in the first half of the financial year has remained strong and the Company is trading in line with market expectations. At the end of the first half, Avingtrans had net cash (pre IFRS 16) in excess of £22.5m (31 May 2021: £23.3m).

Notice of Results

Avingtrans will publish its results for the six months ended 30 November 2021 on 23 February 2022, at which point it will provide a further update on performance.

Strategic Investment

Furthermore, Avingtrans is pleased to announce that it has increased its shareholding in the emerging Medtech 3D X-ray business, Adaptix Limited ("Adaptix"), by another 150,000 shares, for a total consideration of £1.5m. Avingtrans now owns 400,000 Adaptix shares, representing 11.9% of the current issued share capital.

In the year to 31 March 2021, Adaptix made a loss after tax of approximately £1.1m. Further details on Adaptix can be found in the announcement released by the Company on 13 October 2021.

Steve McQuillan, CEO of Avingtrans commented: "The objective of the further investment in Adaptix is a vote of confidence in their strategy and in our strategy for Magnetica. The product launch plans of Magnetica and Adaptix are convergent, enabling the two businesses to mutually benefit by co-ordinating their approaches to market."

Mark Evans, CEO of Adaptix, added: "We recognise that the success of Adaptix and Magnetica will be augmented by working more closely together, to bring about a transformation in diagnostic imaging. The funds will be deployed by Adaptix in developing commercial distribution for its Vet and Orthopaedic products, which will subsequently be used to distribute Magnetica's MRI products also. It's an exciting time for both businesses and the initial market response to the launch of the Adaptix system has been very encouraging" 

The management team will be hosting a presentation for analysts on the day of results - for more information please contact Zach Cohen at IFC Advisory on  [e-mail]  .

Enquiries:

Avingtrans plc	01354 692391
Roger McDowell, Chairman Steve McQuillan, Chief Executive Officer Stephen King, Chief Financial Officer
Singer Capital Markets (Nominated Adviser and Broker)	02074 963000
Shaun Dobson Alex Bond Oliver Platts Rachel Hayes
IFC Advisory (Financial PR)	020 3934 6630
Graham Herring Tim Metcalfe Zach Cohen

About Avingtrans plc: 

Avingtrans designs, manufactures and supplies original equipment, systems and associated aftermarket services to the energy, medical and industrial markets worldwide. 

Business units

Hayward Tyler - Luton & East Kilbride, UK and USA, China and India Specialises in the design, manufacture and servicing of performance-critical motors and pumps for challenging environments. Energy Steel, Inc - Rochester Hills, Michigan, USA Provider of custom fabrications for the nuclear industry, specialising in: OEM parts obsolescence; custom fabrications; engineering design solutions; product refurbishment; on-site technical support. Stainless Metalcraft Ltd - Chatteris, UK and Chengdu, China Provider of safety-critical equipment for the energy, medical, science and research communities, worldwide, specialising in precision pressure and vacuum vessels and associated fabrications, sub-assemblies and systems. Booth Industries - Bolton, UK Designs, manufactures, installs and services doors and walls which can be tailored to be: blast &explosion proof; fireproof; acoustically shielded; high security/safety; or combinations of the above Ormandy Group, Bradford, UK Design, manufacturers and servicing of off-site plant, heat exchangers and other HVAC (heating, ventilation and air conditioning) products Composite Products Ltd - Buckingham, UK Centre for composite technology, parts and assemblies, serving customers in industrial markets. Magnetica Ltd - Brisbane, Australia Magnetica Limited specialises in the development of next generation MRI technologies, including dedicated extremity MRI systems and MRI system components. Magnetica has successfully built and tested a compact, integrated 3 Tesla orthopaedic MRI system, demonstrating clinical-quality imaging. Commercialisation of this system (and others) is on-going. Magnetica's structure now includes two other business units: Scientific Magnetics - Abingdon, UK Designs and manufactures superconducting magnet systems and associated cryogenics for a variety of markets including MRI and provides services for Nuclear Magnetic Resonance instruments. Tecmag Inc, Houston, USA Designs, manufactures and installs instrumentation, including consoles, system upgrades, and probes, mainly for Magnetic Resonance Imaging (MRI) and Nuclear Magnetic Resonance (NMR) systems.

 

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