Kiotech, a Surrey-based supplier of feed additives in the agriculture sector, has agreed to acquire rival Optivite Group for £3.4 million in cash and shares.
Kiotech, a Surrey-based supplier of feed additives in the agriculture sector, has agreed to acquire rival Optivite Group for £3.4 million in cash and shares.
Optivite Group specialises in drug-free animal nutrition products and supplies to more than 30 countries around the world. For year-end February 2009, the Nottinghamshire-based company generated sales of £17.5 million and pre-tax profits of £654,000. Richard Scragg, chairman of Optivite, will join the board upon completion.
In the six months to June 2009, Kiotech reported an increase of pre-tax profits of 59.5 per cent to £277,000 and revenue of £3.5 million.
Kiotech chairman Richard Rose commented: ‘We have made a strong start to the second half of the year continuing the sales growth of the first half. Management remains focused on generating sales from new territories particularly Brazil and China, which are key agricultural markets and where we currently have no presence.’
