Halma plc ('Halma' or the 'Group')
Acquisitions
Halma, the global group of life-saving technology companies, today announces that it has completed two bolt-on acquisitions for an aggregate maximum total consideration of approximately £46.5m.
In the Environmental and Analysis sector, Halma company, Alicat Scientific, Inc. (Alicat), has acquired the Alpha Instrumatics Group (Alpha Instrumatics).
Based in Bradford, UK, Alpha Instrumatics designs and manufactures devices for high-precision measurement of trace moisture found in gases. Trace moisture analysis allows the safer operation of industrial equipment, more efficient transfer of hydrocarbons, and more accurate detection of pollutants. Alpha Instrumatics' devices are used in growth markets, including the industrial gas and aerospace markets, as well as industries aligned to the new energy transition. This acquisition extends Alicat's product offering in its existing and adjacent end markets.
The initial cash consideration for Alpha Instrumatics is £31m, on a cash- and debt-free basis, which will be funded from Halma's existing facilities. Additional earn-out considerations are payable in cash, based on its performance over each of the two financial years to 31 March 2025, up to an aggregate maximum of £5.5m. Alpha Instrumatics' consolidated unaudited revenue for the 12 months to 30 September 2023 was £7.8m, with Return on Sales substantially above the upper end of Halma's target range of 18-22%.
In the Healthcare sector, Halma company, IZI Medical Products LLC (IZI), has acquired AprioMed AB (AprioMed). AprioMed designs, manufactures and distributes medical devices used for bone biopsies. This acquisition expands IZI's offerings for minimally invasive procedures, complementing its products used to diagnose and treat cancer.
The consideration for AprioMed is SEK130m (approximately £10m) on a cash- and debt-free basis, which is funded from Halma's existing facilities. AprioMed's unaudited revenue for the 12 months to 31 March 2023 was SEK40.0 (approximately £3.0m), with Return on Sales above Halma's target range of 18-22%.
Marc Ronchetti, Group Chief Executive of Halma, commented:
"Our companies have access to Halma expertise and capital to support their growth locally and internationally. These bolt-on acquisitions are strongly aligned with our purpose and financial model and will bring complementary capabilities to Alicat and IZI Medical, including new technologies and broader market reach. We are excited by the opportunities we see for new standalone companies to join Halma and for our existing companies to add new capabilities through bolt-on acquisitions to grow their businesses over the long term."
For further information, please contact:
Halma plc
Marc Ronchetti, Group Chief Executive +44 (0)1494 721111
Steve Gunning, Group Chief Financial Officer
Charles King, Head of Investor Relations +44 (0) 7776 685948
Clayton Hirst, Director of Corporate Affairs +44 (0) 7384 796 013
MHP
Oliver Hughes / Rachel Farrington / Ollie Hoare +44 (0)20 3128 8100
A copy of this announcement, together with other information about Halma, is available at www.halma.com.
About Halma
Halma is a global group of life-saving technology companies, focused on growing a safer, cleaner, healthier future for everyone, every day. Its purpose defines the three broad markets it operates in:
· Safety - Protecting people's safety and the environment as populations grow, and enhancing worker safety.
· Environment - Addressing the impacts of climate change, pollution and waste, protecting life-critical resources and supporting scientific research.
· Health - Meeting the increasing demand for better healthcare as chronic illness rises, driven by growing and ageing populations and lifestyle changes.
It employs over 8,000 people in more than 20 countries, with major operations in the UK, Mainland Europe, the USA and Asia Pacific. Halma is listed on the London Stock Exchange (LON: HLMA) and is a constituent of the FTSE 100 index.
Halma has been named as one of Britain's Most Admired Companies for the past five years.
For more information www.halma.com
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