Acquisition

RNS Number:3575N
Fenner PLC
06 February 2008



                                                                 6 February 2008

                             Fenner PLC ("Fenner")
                   Fenner Acquires Prodesco, Inc ("Prodesco")

Fenner is pleased to announce that it has acquired 100% of the share capital of
Prodesco from the shareholders, the substantial majority of whom are represented
by the Trustees of certain trusts created for the benefit of T.Nash Broaddus and
Robert J Sievers and the members of their respective families.

Prodesco consists of two businesses; the first develops and manufactures a range
of highly specialised technical fabrics which are used in various 
performance-critical and proprietary applications by industrial, aerospace and 
chemical equipment OEMs.

Prodesco's second business, Secant Medical is a leader in the development and
production of textile structures for the growing medical device market.
Typically, Secant Medical's products are critical components in devices which
are used to treat cardiovascular and orthopaedic conditions.

Gross assets valued at $14.7 million on 29th September 2007 (after adjustment
for assets excluded from the sale) were acquired for an initial cash
consideration of $47 million. Additional cash consideration will be paid
conditional upon Prodesco meeting certain agreed revenue projections over five
years. The conditional consideration is capped at $18 million. Prodesco,
together with Secant Medical, earned pro-forma profits before tax of $7.4
million in 2007. The transaction is expected to be earnings enhancing
immediately upon acquisition.

Prodesco and Secant Medical will continue to operate under their current names
and will together operate within Fenner's Advanced Engineered Products (AEP)
Division. Steve Chadwick, President and Chief Executive Officer, and Tom
Dertouzos, Chief Financial Officer, will continue to lead Prodesco's strong
management group under the direction of Fenner's AEP team. Prodesco and Secant
will continue to operate from their existing facilities in Perkasie, 
Pennsylvania, USA.

Mark Abrahams, CEO of Fenner PLC said, "Prodesco is a great company which builds
on Fenner's core expertise in textile engineering while exemplifying our AEP
Division's primary focus on performance-critical, polymeric components. Secant
Medical is a natural extension to Fenner's business and gives it exposure to a
segment of the medical market which has attractive growth and resilience
characteristics".

Fenner is a world leader in the field of reinforced polymer engineering. Its
products include lightweight and heavyweight conveyor belting for the mining and
power generation markets, precision motion control products for the office
automation and mechanical equipment markets, and sealing products for the
mining, hydraulics and energy industries.

                                     -Ends-

For further information please contact:

Fenner PLC
Mark Abrahams, Chief Executive                                      01482 626501
Richard Perry, Finance Director

Weber Shandwick Financial
Nick Oborne/ Stephanie Badjonat                                    020 7067 0700




                      This information is provided by RNS
            The company news service from the London Stock Exchange

END
ACQUVOVRWWRURAR

Fenner (LSE:FENR)
過去株価チャート
から 6 2024 まで 7 2024