Solid State PLC
05 November 2007
Solid State plc (the 'Group')
Acquisition of RZ Pressure Instruments Supply SARL
The Board of Solid State plc ('Solid State') is pleased to announce that it has
acquired the entire issued share capital of Geneva, Switzerland, based RZ
Pressure Instruments Supply SARL ('RZ') for an initial consideration of
£450,000. A further payment will be made based on any increase in value of net
assets at completion, expected to occur in December 2007, from the value of the
net assets at 31 December 2005 of £211,690 (the 'Acquisition'). The initial
consideration is being satisfied in cash and is being financed from the Group's
own resources and the Directors estimate that the net assets adjustment at
completion will be approximately £50,000.
RZ is a leading European battery pack manufacturer serving principally the oil &
gas industry. The addition of RZ to our Steatite battery pack business will
make us the largest supplier in Europe of Electrochem products and strengthens
our international customer base in the oil & gas market.
Since the acquisition of Steatite Limited in 2002 our strategy has been to
develop our core businesses in batteries, components and computing. The
addition of industrial computer supplier Wordsworth Technology Limited in 2005
and now RZ helps us further this strategy. We continue to seek further
acquisitions in components to enhance our core Solid State Supplies Limited
component business.
The audited accounts of RZ, as at 31 December 2006, show that the company
reported profits before tax of £42,843, on turnover of £696,913 (Based on an
exchange rate of £1=CHF2.40, as at 2 November 2007). The net assets of RZ as at
31 December 2006 were £243,518. Based on management accounts, trading at RZ
during the current financial year has been ahead of the same period last year.
The Board is also pleased to report that the Group's existing businesses are
trading satisfactorily and that the interim results for the six months ended 30
September 2007 will be released in December.
5 November 2007
Further enquiries:
Gary Marsh
Group Managing Director
Solid State plc
01892 836 836
Philip Davies
Charles Stanley Securities
Nominated Adviser
020 7739 8200
This information is provided by RNS
The company news service from the London Stock Exchange
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