ADVFN Logo

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for default Register for Free to get streaming real-time quotes, interactive charts, live options flow, and more.

BOY Bodycote Plc

695.00
2.50 (0.36%)
Last Updated: 12:20:48
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Bodycote Plc LSE:BOY London Ordinary Share GB00B3FLWH99 ORD 17 3/11P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  2.50 0.36% 695.00 695.00 696.00 696.50 687.50 696.50 50,508 12:20:48
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Metalworking Machinery, Nec 743.6M 73.7M 0.3867 17.97 1.32B

Bodycote PLC Acquisition of Ellison Surface Technologies (9503X)

24/12/2019 7:00am

UK Regulatory


Bodycote (LSE:BOY)
Historical Stock Chart


From Mar 2019 to Mar 2024

Click Here for more Bodycote Charts.

TIDMBOY

RNS Number : 9503X

Bodycote PLC

24 December 2019

24 December 2019

Bodycote plc

Acquisition of Ellison Surface Technologies

Bodycote, the world's leading provider of heat treatment and specialist thermal processing services, has entered into an agreement to acquire Ellison Surface Technologies ('Ellison'), creating one of the world's largest providers of thermal spray and engineered coating surface technology services to the aerospace industry.

Ellison's business, based in North America, is highly complementary to Bodycote's existing Surface Technology business. It is primarily focused on the aerospace market. It will be integrated into Bodycote's surface technology and aerospace business, which itself has seen strong structural growth in recent years.

Gross consideration for the acquisition will be $200 million (GBP154 million). When adjusted for tax benefits worth at least GBP30m, net consideration for the transaction is approximately GBP170 million. The consideration will be settled using Bodycote's existing committed credit facilities.

Ellison's business generated revenues of $50m (GBP38m) in 2018, with associated pro-forma EBITDA of $8m (GBP6m). Based on results year to date, it is anticipated that Ellison's revenue for 2019 will be $58m (GBP44m) with pro-forma EBITDA of $12m (GBP9m). This expected revenue growth of 16%, and its associated 50% increase in pro-forma EBITDA, reflects the fact that Ellison has been successfully gaining share in the civil aviation business, which will also provide a solid foundation for further revenue and profit growth in future years. It is anticipated that the Ellison business will be immediately earnings enhancing to the enlarged Bodycote business. Ellison employs almost 400 people across six sites located across the United States, Canada and Mexico.

Commenting on the transaction, Stephen Harris, Group Chief Executive of Bodycote plc, said 'Ellison's business is one that we have long respected and is a perfect strategic fit for Bodycote's aerospace and Specialist Technologies' businesses. Ellison has been successful in winning new business in recent years and it will be very complementary to Bodycote's existing Surface Technology business.'

Completion of the transaction is contingent on various regulatory filings' processes; it is anticipated that the transaction will complete during the first quarter of 2020.

Bodycote was advised by Credit Suisse on this transaction, while the sellers were advised by Lazard.

Acquisition Update Conference Call

Stephen Harris and Dominique Yates will be hosting a conference call for analysts and investors to discuss the acquisition in detail at 8.00am on January 7(th) .

Participant's dial in number : +443333009261 (Direct)

Participants will be asked for names only, no PIN required

For further information, please contact:

Bodycote plc

Stephen Harris, Group Chief Executive

Dominique Yates, Chief Financial Officer

Tel No +44(0) 1625 505300

FTI Consulting

Richard Mountain

Susanne Yule

Tel No +44 (0) 2037271340

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

ACQQZLBLKLFBFBE

(END) Dow Jones Newswires

December 24, 2019 02:00 ET (07:00 GMT)

1 Year Bodycote Chart

1 Year Bodycote Chart

1 Month Bodycote Chart

1 Month Bodycote Chart

Your Recent History

Delayed Upgrade Clock