Flowtech Fluidpower Snaps Up Nelson Hydraulics For GBP5.8 Million

LONDON (Alliance News) - Fluid power products distributor Flowtech Fluidpower PLC on Monday said it has acquired Nelson Hydraulics Ltd in a GBP5.8 million cash deal.

Flowtech has acquired the business, a hydraulic products distributor, from parent company Nelson Fluid Power Ltd.

The consideration, to be funded from existing cash resources, will comprise a GBP4.1 million portion for the trading business and GBP1.7 million for the net cash position held at completion.

Flowtech said the Nelson business will operate as sister company within its group of companies and should deliver synergies through to 2016.

The company also briefly said it is trading in line with market expectations for the year.

"The acquisition of NFP and Albroco continues the progressive development of Flowtech, and along with Primary Fluid Power will both sit within a newly formed division providing clear focus on the power and motion control market. In addition the acquisitions widen the geographical areas and customer sectors we serve, and extends significantly the group's hydraulic offer and procurement opportunities," said Chief Executive Sean Fennon.

By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance

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