Croma Security Share News (CSSG)

(Sharecast News) - Security firm Croma Security Solutions has acquired Leeds-based locksmith Meridian Securities System for £150,000 in cash.

Croma Security said on Monday that it will immediately pay £135,000 for Meridian, with a further deferred payment of roughly £15,000 payable over the first nine months.

In a separate transaction, Croma also acquired a freehold retail property for a total cash consideration of £275,000 from the vendor's pension fund.

The AIM-listed group stated the acquisition of Meridian was part of its broader strategic plan to build a national network of modern security centres. Meridian will be incorporated into the business, while the store will continue to service the local existing customer base, as well as Croma's wider network of commercial clients.

Chief executive Roberto Fiorentino said: "We are delighted to welcome Meridian into the group. The business meets all our criteria and is therefore a strong fit. We anticipate being able to increase the profitability of the business ensuring it quickly becomes earnings accretive and extends our geographic reach. As importantly, we have a good pipeline of further transactions which we are looking forward to bringing to completion."

As of 1110 GMT, Croma shares were up 4.09% at 89.0p.

Reporting by Iain Gilbert at Sharecast.com