Entu (UK) plc Acquires Astley Facades
Entu (UK) plc ("entu" or the "Company") (AIM: ENTU), the home improvement group providing energy efficiency products and services to homeowners in the UK, is pleased to announce that it has completed the acquisition of the entire issued share capital of Astley Facades Limited and its wholly owned subsidiaries (together the "Astley Companies") from Gentoo Group Limited. The total consideration is £0.2 million in cash, which will be paid out of the Company's existing cash reserves, representing the net assets to be acquired on completion,
The Astley Companies have expertise and a market-leading reputation in energy efficient exterior wall insulation, render and specialist cladding for new-build construction and the refurbishment of existing building stock. The acquired business operates from a head office in Wigan servicing primarily commercial customers around the UK and will join entu's growing energy services division.
This acquisition is in line with entu's stated strategy to broaden its product portfolio and the range of customers it serves. It will enable entu to develop a platform to scale up the products offered by the Astley Companies nationally across high and low-rise properties for both commercial and domestic buildings. In addition it will continue to develop entu's skill base in energy efficient products.
For the year ended 31 March 2014 the trading subsidiaries of the Astley Companies had a combined turnover of approximately £12.2 million and pre-tax losses of approximately £1.4 million. The Astley Companies are currently trading on a break-even basis and it is expected that this acquisition will make a positive contribution towards entu's earnings for the year ending 31 October 2016.
Ian Blackhurst, CEO of entu, commented:
"We have previously identified energy efficient products as an important area in which we want to grow, so this acquisition is an important step forward for us.
"We are delighted to welcome the Astley Companies to entu: they will enable us to build our presence and our reputation in the facades solutions market, and also create a national platform and skill base from which to deliver other energy efficiency and ECO products."