4th May 2005 13:30
UMECO PLC04 May 2005 4th May 2005 PRESS RELEASE UMECO plc Acquisition of Scandinavian Distribution Businesses UMECO plc ("UMECO") is pleased to announce that its Composites Divisionsubsidiary GRP Materials Supplies Limited ("GRPMS") has agreed to acquire fromthe Scandinavian affiliates of Ashland Composite Polymers, a business group ofAshland Specialty Chemical, a division of Ashland Inc. (NYSE: ASH) ("Ashland"),property and other fixed assets related to their distribution businesses inSweden, Denmark and Norway. The purchase price is €0.8 million subject toinventory value adjustment on completion. The acquisition is expected tocomplete on 1st July 2005. GRPMS has also agreed to a sole distribution agreement with Ashland in Sweden,Denmark and Norway. The DERAKANE(R) range of products recently acquired from TheDow Chemical Company by Ashland are included in this agreement. Ashland, aleading worldwide resin and gel coat supplier, will continue to supply its ownproducts to certain major accounts in these territories on a direct basis. Theexisting distribution agreement between Ashland and GRPMS with respect to the UKand Ireland will remain. On a pro-forma basis the acquired business had sales for the 12 months ended30th September 2004 of €8.0 million. GRPMS expects to grow the sales of bothAshland and third-party products based upon its wide-ranging experience andsupplier relationships developed through its UK based business. Clive Snowdon, Chief Executive of UMECO, commented: "This acquisition cementsGRPMS' relationship with Ashland in Europe and represents an excellentopportunity for GRPMS to expand its operations in the UK, Ireland andScandinavia." - Ends - For further information, please contact: Clive SnowdonChief Executive, UMECO plc 01926 485930 John Olsen / Barnaby FryHogarth Partnership Limited 020 7357 9477 Notes to Editors: UMECO plc is a leading international provider of value-added distributionservices and composite materials to the aerospace & defence industries. Productssupplied include aerospace components, composite materials and chemicals, andoutsourcing services include direct line feed systems, kitting and stock/supplier management systems. The majority of these products and services are supplied to major customersincluding Rolls-Royce plc, BAE SYSTEMS, British Airways, Smiths Industries,Goodrich Aerospace, Bombardier, Lockheed Martin and the US Department ofDefence. The Group is managed through three divisions: Components; Composites; and Repairand Overhaul, and had turnover in the year to March 2004 of £185 million. UMECOplc is listed on the London Stock Exchange. Further information can be found atthe Group's website: www.umeco.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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