4th Oct 2018 08:06
LONDON (Alliance News) - Engineering company Smiths Group PLC on Thursday said it has entered into an agreement to acquire United Flexible Inc for USD345 million.
Smiths will buy United Flexible from Arlington Capital Partners. United Flexible provides solutions for fluid and gas transfer systems in extreme environments. It will be integrated into Smiths's Flex-Tek division, which provides a similar service.
United Flexible is estimated to record revenue of USD157 million for 2018 and adjusted earnings before interest, taxation, depreciation, and amortization of USD32 million.
Smiths will fund the acquisition from its existing cash and bank facilities, and expects the acquisition to complete in the second half of 2019.
"Flex-Tek has a track record of consistent delivery, underpinned by strong market positions and operational performance. The acquisition of United Flexible will strengthen our position in aerospace and industrial end markets globally," said Smiths Chief Executive Andy Reynolds Smith.
"United Flexible is a high-quality growth business with complementary positions on a number of growing aerospace platforms and in industrial markets. I am delighted to welcome the United Flexible team to Smiths Group," he added.
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