Acquisition of ET Clay Products

RNS Number : 4442B

Brickability Group PLC

03 October 2022

 

Brickability Group PLC  

LEI:  213800SK28MWXB3K3P26  

3^rd October 2022

Brickability Group plc

("Brickability" or "the Group")

Acquisition of ET Clay Products

Brickability Group plc (AIM: BRCK), the leading construction materials distributor, is pleased to announce that it has acquired ET Clay Products for a consideration of £11.6 million through the acquisition of 100 per cent. of the share capital of E.T. Clay Products Limited and Heritage Clay Tiles Limited (together "ET Clay Products").

Established over 25 years ago, ET Clay Products is a specialist supplier of UK and imported clay facing bricks and high quality handmade and handcrafted clay roof tiles. Operating out of three yards, the businesses will bring new customers to the Group, particularly in the merchants channel.

In the year to 30 July 2022, ET Clay Products generated unaudited revenues of £44.3 million and adjusted EBITDA of c£3.0 million.

The consideration is being satisfied by an initial cash payment of £8.1 million and deferred consideration of £3.5 million payable in cash over the next three years (the "Performance Period"), subject to adjustments to deferred consideration payments for performance against target performance criteria during the Performance Period.

The consideration is being satisfied in cash and funded from the Group's existing cash resources and is expected to be immediately earnings accretive post completion.

Alan Simpson, CEO, Brickability Group plc, said:

"The acquisition of ET Clay Products provides another important step in the growth of our Import Division by further expanding the supply base of the Group through new access to a range of overseas manufacturers."

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For further information please contact:

Brickability Group plc John Richards, Chairman Alan Simpson, CEO Mike Gant, CFO	via Montfort Communications
Cenkos Securities plc (Nominated adviser and broker) Ben Jeynes, Max Gould (Corporate Finance) Julian Morse, Alex Pollen (Sales)	[phone]
Montfort Communications James Olley Georgia Colkin	[phone]

About Brickability 

Brickability is a leading construction materials distributor, serving customers across the UK and Europe for over 36 years through its national and local networks. The Group supplies over 550m bricks annually and has over 55 locations across the country with over 600 employees.

This announcement contains inside information

 

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