An AIM-listed provider of electronic manufacturing and power services has completed a seven-figure acquisition.
An AIM-listed provider of electronic manufacturing and power services has added additional expertise to its operations following a seven-figure acquisition.
Stadium Group paid £2.5 million in cash for Zirkon, after Barclays agreed to arrange the debt needed to back the deal.
The transaction brings experience in the industrial instrumentation, security, medical and mobility sectors into the group and follows its acquisition of power supplies specialist Fox Industries in September.
Stadium chief executive Nigel Rogers said the Zirkon deal is part of the board’s plans to develop the group.’In a time of continued consolidation in the UK electronic manufacturing services industry, we identified an opportunity to acquire a well-managed business that offers a perfect fit with our operational model and growth strategy.’
Post-completion, the acquired business will change its name to Stadium Zirkon and will trade as Stadium Electronics.
Hartlepool-based Stadium has been operating since 1911 and employs more than 1,400 people across its sites in the UK and China.
Zirkon has been an electronic manufacturing services provider since 1999 and today employs 84 people at its manufacturing plant in Rugby. In the year to July 2008, it reported a £600,000 per-tax profit on a £7.3 million turnover.