POL.L Regulatory News (POL)

21 Jul 2005 07:01

Polaron PLC21 July 2005 21st July 2005 Polaron plc Acquisition of DMS Controls Ltd Strengthening of Controls Systems division Polaron plc, ("Polaron" or the "Company") the broad based technology group, ispleased to announce the acquisition of DMS Controls Ltd, ("DMS") a specialistintegrator of intelligent building control systems, for a maximum totalconsideration of £3.5m. The acquisition is immediately earnings enhancing. The initial consideration payable is £1.2 million in cash. A further £800,000 tobe satisfied in shares will be payable on the achievement of pre-tax profits of£400,000 for the period ending 30th June 2006. A further maximum considerationof £1.5m will be payable satisfied by loan notes and shares upon achievingfurther pre-tax profits growth to a total of £700,000 or up to £1m if suchprofits growth does not occur until the period ending 30th June 2007. DMS provides solutions over a number of disciplines - building managementsystems, HVAC, fire detection systems, voice alarm and public address, CCTV,Access control and associated maintenance services. It is the largest UKinstaller of Automated Logic Corporation building management systems product inthe UK and is an accredited Trend building management system technology centre.DMS has a large portfolio of clients including Royal Bank of Scotland, RochePharmaceuticals, Cable & Wireless, Fujitsu, Hilton Hotels and the BBC. DMS was founded in 2000 by three highly experienced and respected industryprofessionals Nick Seaton, Kerry Overman and Bob Gilbert. For the year endingApril 30th 2005, DMS was profitable on unaudited revenues of £3 million. The Board believes that the acquisition is highly synergistic with the Company'sexisting controls systems business, in terms of route to market and it willcreate a number of cross-selling opportunities within the combined client base.The Board does not anticipate any exceptional costs associated with theintegration of the businesses. Joe Stelzer, CEO of Polaron, commented, "I am very pleased to announce another strategic acquisition for the Company.With DMS, the controls systems division has added additional high qualityservices capability to its existing offering of products, services anddistribution, and remains well positioned for future growth." -ends- For further information, please contact: Polaron plc Tel: 01923 495513Joe Stelzer Financial Dynamics Tel: 020 7831 3113Juliet Clarke This information is provided by RNS The company news service from the London Stock Exchange