Surgical Innovations Group PLC Acquisition (4371O)

TIDMSUN

RNS Number : 4371O

Surgical Innovations Group PLC

07 November 2016

7 November 2016

Surgical Innovations Group plc

("SI Group")

Acquisition

Surgical Innovations Group plc (AIM: SUN), the designer and manufacturer of innovative medical technology for minimally invasive surgery, has completed the acquisition of the laparoscopic instruments business and related assets of Surgical Dynamics Limited ("SDL") for a cash consideration of approximately GBP0.36m, including assumed debt of not greater than GBP0.05m. Consideration will be funded from existing cash resources.

SDL is a privately owned company based in County Durham, and specialises in the design, development and rapid prototyping of a range of medical products. Revenues for the year ended 31 December 2015 amounted to GBP0.12m and loss before tax was GBP0.17m. In addition to these development activities, SDL has introduced specialist production processes including metal injection moulding of medical components, which are of particular relevance to SI Group and others in this sector.

Following this transaction, all of SDL's business in the production and distribution of single-use laparoscopic products will be relocated to the SI Group site at Leeds, and SDL has undertaken to offer any new products developed in the laparoscopic field exclusively to SI Group for a minimum period of three years.

Managing Director of SI Group, Melanie Ross, commented: "We are delighted to be working with SDL and its owners to further broaden our product portfolio, and bring additional precision manufacturing techniques to our facility at Leeds. This is an exciting opportunity to increase our appeal to distributors and end-user customers across a number of geographical markets, and will further enhance our competitive position in the UK and elsewhere. This is the first acquisition by SI Group following board changes over the last twelve months, and we continue to seek further opportunities to build on our expanding market presence."

For further information please contact:

 
 Surgical Innovations Group                                 www.sigroupplc.com 
  Plc 
 Nigel Rogers, Executive                                    Tel: [phone] 
  Chairman 
 Melanie Ross, Group FD & Managing 
  Director, SI Ltd 
 
 WH Ireland Limited (NOMAD 
  & Broker) 
 James Joyce / Ed Kennedy                                   Tel: [phone] 
  (Nomad) 
 
 Walbrook PR (Financial                Tel: [phone] or [e-mail] 
  PR & Investor Relations) 
 Paul McManus                                               Mob: [phone] 
 Natalie Bruce                                              Mob: [phone] 
 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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November 07, 2016 02:00 ET (07:00 GMT)