Brammer plc, an industrial services group, has bought an Italian provider of industrial components in a bid to grow its pan-European operations.

Brammer plc, an industrial services group, has bought an Italian provider of industrial components in a bid to grow its pan-European operations.

The £8.6 million purchase of Tecnoforniture will be paid for in stages, comprising an initial cash payment of £4.3 million and two equal instalments of £2.15 million payable on the first and second anniversaries of the deal.

Brammer chairman David Dunn says the acquisition will extend Brammer’s European footprint in Italy, providing a base from which to grow earnings and increase market penetration. “This transaction fits our stated strategy of acquiring businesses which closely fit our established product portfolio and business strategy and will complement the organic growth opportunities in our key account and pan-European businesses.”

The Tecnoforniture business is based in Porto D’Ascoli, on the east coast, and is engaged in the provision of critical industrial components including bearings, power transmission and fluid power to a variety of industrial and commercial customers. Last year, the business generated sales of £9.2 million and EBIT of £1.1 million. Net assets and gross assets stood at £4.2 million and £7.1 million respectively.