Last checked at 21 Dec 2017 09:00
Halma plc
ACQUISITION OF ARGUS SECURITY S.r.l.
On 20 December 2017, Halma, the leading safety, health and environmental technology group, completed the simultaneous acquisitions of Argus Security S.r.l. ('Argus') and its UK-based distributor Sterling Safety Systems Limited ('Sterling') from management and private shareholders.
Argus, based in Trieste, Italy, is a leading manufacturer of wireless fire systems, including detectors, call points, sounders, beacons and modules. Sterling is the exclusive distributor of Argus wireless devices into the UK market under the Hyfire brand.
The combined cash consideration is £21 million on a cash and debt-free basis. The combined revenue, for the year ending 31 December 2016 was £13 million.
The acquisition, which is expected to be immediately earnings enhancing, was funded from Halma's existing cash and debt facilities.
The Argus and Sterling management team will continue to operate the business from its current locations. The two companies will be managed as a single Halma business as part of the Infrastructure Safety sector.
Andrew Williams, Halma's Chief Executive, commented:
"The global demand for wireless fire systems in commercial and industrial applications is increasing rapidly. The acquisitions of Argus and Sterling will further strengthen our Fire businesses' wireless capabilities and accelerate future product development. There is an excellent strategic fit with our existing portfolio, as we move towards increasingly connected and integrated fire safety systems in buildings."
For further information please contact:
Halma plc
Tel: +44 (0) 1494 721111
Andrew Williams, Chief Executive
Kevin Thompson, Finance Director
MHP Communications
Tel: +44 (0) 20 3128 8100
Rachel Hirst/Andrew Jaques
Notes
1. Halma buys successful businesses in safety, health and environmental markets and helps them grow further through investment targeted towards increasing innovation, management development and international expansion. In the past 10 years Halma has spent approximately £740 million acquiring nearly 30 businesses with deal sizes ranging from £1 million up to £100 million. (www.halma.com)
2. Further information on Argus can be found on its website www.argussecurity.it
3. Further information on Sterling can be found on its website www.sterlingsafety.co.uk
4. This statement is not intended to constitute a profit forecast for the current financial period or for any future period. In addition, 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.
5. Euro values were translated at a rate of €1.13:£1.