3rd Mar 2021 13:51
Coral Products PLC - Manchester-based plastics manufacturer and distributor - Acquires plastics products designer, manufacturer and supplier Customised Packaging Ltd for GBP1.3 million. Notes this comprises GBP883,956 in cash and GBP366,044 from the issue of 3.33 million shares at a price of 11 pence per share to the sellers of Customised Packaging. Says an earn-out consideration will be payable to the sellers in the event that Customised Packaging's pretax profit at the end of this year is greater than GBP250,000. The additional payment will be equivalent to 30% of profits in excess of GBP250,000 for the 2020 period.
"The acquisition of Customised Packaging is a significant milestone for Coral as it expands further the group's market coverage and product range. The board anticipates that the acquisition will be earnings enhancing in its first year," says Chair Joe Grimmond.
Current stock price: 11.01 pence, down 4.3% on Wednesday
Year-to-date change: up 19%
By Zoe Wickens; [email protected]
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