Halma plc Acquires Centrak
Halma, the leading safety, health and environmental technology group, announces that it has acquired CenTrak, Inc. based in Newtown, Pennsylvania, USA from private shareholders.
CenTrak designs and manufactures sensors and proprietary communication technology that provide the most reliable and precise location data for healthcare facilities to ensure compliance with regulations and to improve patient care. Through strategic partnerships with leading healthcare application providers, CenTrak's technology enables real-time monitoring of a range of parameters including patient, staff and medical equipment location, patient security, hand hygiene compliance and environmental/temperature conditions.
The cash consideration is $140 million (£95.9 million) and is adjustable, US$ for US$ if net assets are more or less than a pre-determined amount (the adjustment is not expected to be material). The acquisition, which is expected to be immediately earnings enhancing, was funded from Halma's existing cash and debt facilities.
Unaudited accounts for the year ended 31 December 2015 report revenue (excluding net deferred income) of $43.8 million (£30.0 million) and profit before tax of $10.2 million (£7.0 million). The net deferred income in 2015, which will be recognised in future periods, was $6.6 million (£4.5 million).
The CenTrak CEO and management team will continue to operate the business out of its current locations.
CenTrak will be part of Halma's Medical sector which includes a range of healthcare device companies serving niche applications in global markets.
Andrew Williams, Halma's Chief Executive, commented:
"CenTrak is an exciting addition to our Medical sector. It has a range of sensor and communicationtechnologies which are very similar to those used by other Halma companies in our Infrastructure Safety and Environmental & Analysis sectors, but with a clear focus on medical and healthcare applications. We are looking forward to working with CenTrak's management team towards delivering their growth strategy which includes further market penetration in the USA, international expansion and, in the longer term, potential new applications in other Halma sectors."