Senior PLC
11 December 2007
Senior plc acquires Absolute Manufacturing, Inc.
Senior plc ('Senior') is pleased to announce that it has acquired 100% of the
issued share capital of Absolute Manufacturing, Inc. ('Absolute'), a
manufacturer of precision machined parts principally for the aerospace industry,
based in Arlington, Washington State, USA. The consideration for the purchase
was US$14.6m (£7.1m(1)), which was paid through a combination of cash at
completion and the assumption of net debt on acquisition. The acquisition is
expected to be immediately earnings enhancing.
Absolute specialises in the machining and assembly of critical high precision
components for the jet engine, commercial aerospace, defence and industrial
laser markets. Absolute, which has nearly doubled its turnover during the last
two years, is known for developing specialised processes and producing difficult
to manufacture parts with consistent quality and reliability.
Absolute was formed in 1996 by its current owners, Andy Lubresky and John
Middleton. Following its acquisition by Senior, Andy Lubresky will continue to
run the business, which will become a business unit within the Group's existing
and much larger, Senior Aerospace AMT operation. Absolute is located in
buildings adjacent to those of AMT. For the year to 31 December 2007, Absolute
is forecast to have sales of US$ 14.1m (£6.9m(1)) and profit before interest and
tax of US$ 2.3m (£1.1m(1)).
In the five weeks since the 7 November Interim Management Statement, Senior's
trading has been ahead of the Board's expectations.
Commenting on the acquisition, Graham Menzies, Senior Group Chief Executive,
said:
'The acquisition of Absolute, a highly successful operation, further enhances
the Group's aerospace presence and capabilities and I am delighted to welcome
Andy and the employees of Absolute to the Group.'
Notes
(1) The exchange rate used for the above £ sterling equivalents is $2.05: £1
being the rate prevailing at the close of business on 10 December 2007.
For further information please contact:
Graham Menzies, Group Chief Executive, Senior plc 01923 714702
Mark Rollins, Group Finance Director, Senior plc 01923 714738
Adrian Howard, Finsbury Group 020 7251 3801
This announcement, together with other information on Senior plc may be found
at: www.seniorplc.com
Note to Editors:
Senior is an international manufacturing group with operations in eleven
countries. Senior designs, manufactures and markets high technology components
and systems for the principal original equipment producers in the worldwide
civil aerospace, defence, diesel engine, exhaust system and energy markets.
This information is provided by RNS
The company news service from the London Stock Exchange
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