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(Sharecast News) - Buy and build business SDI Group has acquired electric boilers manufacturer Collins Walker for approximately £1.85m.
SDI said on Friday that Collins Walker will join its industrial and scientific products division and provide intra-group value-add manufacturing opportunities.
The AIM-listed group also highlighted that the addition represented a bolt-in acquisition for portfolio company, Applied Thermal Control - merging back-office functions and increasing manufacturing capacity for Collins Walker
SDI stated that the acquisition was expected to be earnings-enhancing in the first full year post-acquisition and had potential for additional integration benefits.
For the year ended 31 March 2024, Collins Walker delivered revenues of £940,000 and reported underlying earnings of £31,000.
Chief executive Stephen Brown said: "Collins Walker represents a strategic acquisition for SDI, aligning with our core investment criteria through its established position within a regulatory-driven, high-growth sector with international reach.
"The integration of Collins Walker with Applied Thermal Control's manufacturing and operational capabilities, will reduce current capacity constraints and provide a platform for accelerated market penetration."
As of 0950 BST, SDI shares were up 2.04% at 50.0p.
Reporting by Iain Gilbert at Sharecast.com
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