Halma Regulatory News (HLMA)

9 Nov 2005 07:00

Halma PLC09 November 2005 Halma p.l.c. ('Halma') ACQUISITION OF TEXECOM LIMITED Halma, the leading safety, health and sensor technology group, announces thecompletion on 8 November 2005 of the acquisition of Texecom Limited ('Texecom')from European Private Investment Capital for a total cash consideration of £26.0million. In order to facilitate the continuity of the management team, £0.3million of the total consideration is deferred and payable in instalments overthe next two years. P C Stewart was also a party to the transaction as thewarrantor. The acquisition, which is immediately earnings enhancing in thecurrent financial year(2), has been funded from Halma's existing cash and debtfacilities. Texecom is a growing, innovative manufacturer of security sensor and alarmproducts including motion detectors, control panels and signalling equipment,perimeter protection devices, external sounders and fire detectors. Texecom,which is based near Manchester, UK, is one of Europe's largest independentintruder alarm manufacturers. As the latest addition to Halma's InfrastructureSensor sector, Texecom brings complementary technologies and sales channels tothose well established in our Fire, Elevator and Door sensor businesses. Audited accounts for the year ended 31 August 2005 show that Texecom generatedearnings before interest and tax of £3.9 million on sales of £19.2 million; at31 August 2005, shareholders' funds totalled £5.6 million, gross assets were£11.3 million and net cash was £0.5 million. Texecom's growth has been driven by a pipeline of technically innovative newproduct introductions in areas of intelligent passive infra red and microwavemotion sensors, control panel data handling and products with wireless basedcommunication. Andrew Williams, Halma's Chief Executive, commented "Texecom brings importantnew technology and market platforms to Halma and we anticipate significantopportunities for collaboration across our Infrastructure Sensor sector. Theseinclude both cross-selling and product development opportunities. Thisstrengthening of our safety sensor products portfolio for residential,commercial and industrial buildings improves our sustainable growth prospects inthis global market". For further information please contact: Halma p.l.c. +44 (0)1494 721111Andrew Williams, Chief ExecutiveKevin Thompson, Finance Director Hogarth Partnership Limited +44 (0)20 7357 9477Rachel Hirst/Andrew Jacques Notes 1. A copy of this announcement, together with other information about Halma, may be viewed on its website: www.halma.com. 2. This statement should not be taken to mean that the earnings per share of Halma will necessarily match or exceed the historic reported earnings per share of Halma and no forecast is intended or implied. This information is provided by RNS The company news service from the London Stock Exchange