Hill & Smith PLC on Friday said that it has bought United Fiberglass of America Inc, a Springfield, Ohio-based designer and manufacturer of pipe and drain infrastructure systems.
The West Midlands-based provider of sustainable infrastructure products and services acquired United Fiberglass for a £11.4 million in cash, and will keep the management team in place.
United Fiberglass will be incorporated into Hill & Smith’s composites business, Creative Composites Group, within its Engineered Solutions division. United Fiberglass itself is a designer, manufacturer and supplier of composite pipe, conduit, and bridge drain infrastructure systems.
In the year to September 30, United Fiberglass reported revenue of $9.9 million, adjusted earnings before interest and tax of $1.8 million, and gross assets of $7.2 million. Hill & Smith expects the purchase to be earnings-enhancing next year.
‘The acquisition of United Fiberglass is in line with our strategy of acquiring businesses within niche markets with strong long-term growth potential and doing so outside of a formal auction process. United Fiberglass is a business we have known for many years and is an excellent fit with our existing, high-growth US composites business,’ said Executive Chair Alan Giddins.
Hill & Smith shares were trading 2.1% higher at 1,871.00 pence each in London on Friday morning.
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