Smiths Group buys Power Holdings for $235m

2nd Sep 2011 07:06

Medical devices and airport scanners maker Smiths Group announced its Smiths Interconnect division has purchased Power Holdings (PDI), a designer and manufacturer of specialist power systems. The purchase is expected to cost the group around $235m and will be subject to post-closing adjustments in relation to working capital at completion.The acquisition, from private equity firm Bertram Growth Capital I, will be cash-funded and is subject to regulatory approval.Smiths Group said: "PDI is our sixth and largest acquisition in three years. "Smiths Interconnect's strategy is to build its core technology groups: microwave; connectors and power management. Recent acquisitions have significantly expanded the product offerings and capabilities of the connectors and microwave groups. "The acquisition of PDI transforms the existing power protection group with a new range of products and growth opportunities." PDI is expected to generate sales of around $156m this calendar year with more than 90% of revenues from non-government funded markets.NR