Acal buys Danish magnetic components maker for GBP3.7m

6th Nov 2015 09:53

(ShareCast News) - Acal has acquired Danish customised magnetic components designer and manufacturer Flux AS for £3.7m in cash as it looks to create a higher margin business.The supplier of customised electronics said the acquisition is being funded from existing debt facilities and is expected to be immediately earnings enhancing.For the year ended 31 December 2014, Flux had revenues of DKK89m (£8.5m) , generating a pre-tax profit of DKK7.2m.Chief executive Nick Jefferies said: "The acquisition of Flux is in line with our strategy of building a differentiated, higher margin group by buying specialist businesses which fit with our organic growth initiatives."Flux has a long established track record of designing and manufacturing high performance custom magnetic products."At 1016 GMT, Acal shares were up 5.1% at 257.40p.