Spire Healthcare Share News (SPI)

Utility support services provider Spice has bought ComGroup Australia, a company which designs and distributes Simoco branded mobile radio handsets and systems to utilities and government.Spice is initially paying £6.9m for the acquisition, representing a multiple of 3.1 times the operating profit of the business in the year to end-June 2008.The purchase price is subject to adjustment based on the working capital of ComGroup at the time of completion, though any adjustment, if there is one, is expected to be minor. I any event, the total amount payable by Spice is capped at £8.8m.ComGroup was originally part of Simoco, and the acqusiition reunites two businesses that share fifty years of heritage, common technology platforms and a global product brand. Following the acquisition, ComGroup will be re-integrated into the existing Telecoms operations of the Group's Distribution Division.ComGroup targets markets in Australia, North America and South East Asia, thereby offering a complement to Spiece’s existing operations in UK, Europe, China and Latin America.ComGroup is located in Melbourne, Australia and Andover, UK and employs 101 people.