10th Aug 2022 17:38
Coats Group PLC - Uxbridge, England-based industrial thread maker - Agrees to buy Rhenoflex GmbH, a maker of sustainable structural materials for the footwear industry, for enterprise value of EUR115 million. Cash consideration will be EUR107 million after deducting assumed retirement liabilities and other adjustments. The consideration will be funded by a placing and retail offer to raise GBP100 million. The placing price will be determined at the close of the bookbuild.
Firm says the acquisition strengthens its presences in the athleisure and sports footwear market and will be a good fit with recent purchase of Texon. "The combination of Rhenoflex and Texon provides Coats with a compelling strategic opportunity to establish a global leader in the fragmented footwear and fashion accessories market, with significant combined growth opportunities through enhanced scale and capability," it says.
Current stock price: 66.50 pence
12-month change: down 7.6%
By Lucy Heming; [email protected]
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