Halma PLC
09 November 2005
Halma p.l.c. ('Halma')
ACQUISITION OF TEXECOM LIMITED
Halma, the leading safety, health and sensor technology group, announces the
completion on 8 November 2005 of the acquisition of Texecom Limited ('Texecom')
from European Private Investment Capital for a total cash consideration of £26.0
million. In order to facilitate the continuity of the management team, £0.3
million of the total consideration is deferred and payable in instalments over
the next two years. P C Stewart was also a party to the transaction as the
warrantor. The acquisition, which is immediately earnings enhancing in the
current financial year(2), has been funded from Halma's existing cash and debt
facilities.
Texecom is a growing, innovative manufacturer of security sensor and alarm
products including motion detectors, control panels and signalling equipment,
perimeter protection devices, external sounders and fire detectors. Texecom,
which is based near Manchester, UK, is one of Europe's largest independent
intruder alarm manufacturers. As the latest addition to Halma's Infrastructure
Sensor sector, Texecom brings complementary technologies and sales channels to
those well established in our Fire, Elevator and Door sensor businesses.
Audited accounts for the year ended 31 August 2005 show that Texecom generated
earnings before interest and tax of £3.9 million on sales of £19.2 million; at
31 August 2005, shareholders' funds totalled £5.6 million, gross assets were
£11.3 million and net cash was £0.5 million.
Texecom's growth has been driven by a pipeline of technically innovative new
product introductions in areas of intelligent passive infra red and microwave
motion sensors, control panel data handling and products with wireless based
communication.
Andrew Williams, Halma's Chief Executive, commented 'Texecom brings important
new technology and market platforms to Halma and we anticipate significant
opportunities for collaboration across our Infrastructure Sensor sector. These
include both cross-selling and product development opportunities. This
strengthening of our safety sensor products portfolio for residential,
commercial and industrial buildings improves our sustainable growth prospects in
this global market'.
For further information please contact:
Halma p.l.c. +44 (0)1494 721111
Andrew Williams, Chief Executive
Kevin Thompson, Finance Director
Hogarth Partnership Limited +44 (0)20 7357 9477
Rachel Hirst/Andrew Jacques
Notes
1. A copy of this announcement, together with other information about Halma,
may be viewed on its website: www.halma.com.
2. This statement should not be taken to mean that the earnings per share of
Halma will necessarily match or exceed the historic reported earnings per
share of Halma and no forecast is intended or implied.
This information is provided by RNS
The company news service from the London Stock Exchange
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