LONDON (Alliance News) - Robinson PLC Friday said it will acquire Polish plastic packaging manufacturer MADROX Spolka Jawna for GBP13.2 million, part of its effort to expand in central Europe and boost its revenues.
The packaging company said it will make an initial cash payment of GBP10.6 million to be funded from cash reserves and property-backed bank debt. It will pay the rest as long as Madrox achieves a set of key performance conditions in 2015.
Madrox is based in Warsaw and is a supplier of plastic packaging primarily to major brands and private label businesses operating in the household, toiletries and cosmetics sectors in Central Europe.
The net assets to be acquired are roughly GBP5.1 million.
The acquisition is expected to complete in May and if Robinson decide not to carry out the deal, a GBP600,000 fee will be required.
Robinson shares were up 3.4% to 198 pence Friday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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Robinson (RBN)