CEPS acquires pattern book and shade card maker

28th Mar 2019 08:30

(Sharecast News) - AIM-listed investor CEPS has agreed to acquire Yorkshire-based pattern book and shade card maker Travelfast for a maximum consideration of £1.2m on Thursday.CEPS will snap up TFT, trading as Sampling International, via its subsidiary company CemTeal, making the newly formed group one of the largest individual pattern book and shade card makers in the UK, with two production facilities.CEPS expects "significant synergies" to arise from the combination of the two complementary businesses and its board also believe the acquisition will be "a valuable addition".The acquisition, payable in cash over three years, will be funded from the group's cash flow.In addition to the consideration, CemTeal also injected £500,000 into TFT in part to be used for working capital purposes and in part to repay a loan of £100,000 from CEPS chairman David Horner made to allow TFT to meet certain liabilities.Elsewhere, CEPS noted that TFT's 2018 trading performance and net asset value was behind that seen in 2017, but stated it was still in line with management's expectations for the period.As of 0830 GMT, CEPS shares were untraded at 28.50p.