Victrex PLC Acquisition (7213B)

TIDMVCT

RNS Number : 7213B

Victrex PLC

06 April 2017

6 April 2017

Victrex plc

Acquisition of Zyex offers further downstream growth opportunities

Victrex plc, an innovative world leader in high performance polymer solutions, today announces that it has acquired UK based Zyex, which is recognised as a global leader in the manufacture of PEEK based fibres, principally for the Aerospace, Automotive and Industrial markets. The acquisition was made for a cash consideration of GBP10m and offers further downstream growth opportunities in the developing fibre applications area.

The investment is in line with Victrex's downstream strategy and focus on selected semi-finished and differentiated products, based on PEEK and PAEK polymers. Zyex is a well-established and profitable business, based solely on PEEK products. Beyond opportunities from existing applications, the investment will also enable Victrex to explore the potential of 3D printing within the fibres area, building on its own 3D printing consortium announced in 2016.

David Hummel, Chief Executive of Victrex, said: "The acquisition of Zyex is compelling for Victrex, enabling us to not only drive future growth opportunities within well-aligned markets and developing application areas, but to also secure some incremental revenue today.

"Like Victrex, Zyex was formed out of ICI and the two companies coming together is a natural evolution. Whilst Zyex is well-established, Victrex's global reach, innovation focus and proven track record of building new markets offers an attractive opportunity to further develop the business over the coming years. This is in line with our strategy to offer selected and differentiated semi-finished product forms and parts for our customers, building on our core polymer offering."

Zyex had revenues of approximately GBP7m to 31 March 2016. The business employs 22 people at its manufacturing facilities in Gloucestershire, UK.

Enquiries:

Victrex plc:

   Andrew Hanson, Head of Investor Relations & Communications          [phone] 

Louisa Burdett, Group Finance Director [phone]

David Hummel, Chief Executive [phone]

Teneo Blue Rubicon:

Charles Armitstead [phone]

About Victrex:

Victrex is an innovative world leader in high-performance polymer solutions, focussed on the strategic markets of automotive, aerospace, energy, electronics and medical. Every day, millions of people use products and applications which contain our materials - from smartphones, aeroplanes and cars to oil and gas operations and medical devices. With over 35 years' experience, we develop world leading solutions in PEEK and PAEK-based polymers, semi-finished and finished parts which shape future performance for our customers and our markets, and drive value for our shareholders. Find out more at www.victrexplc.com

This information is provided by RNS

The company news service from the London Stock Exchange

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April 06, 2017 02:00 ET (06:00 GMT)