Batteries are included in Solid State acquisition
SOLID STATE, which supplies industrial computers and components, has bought a Somerset batteries business.
The purchase of Creasefield is for a maximum of £1.54m and brings a “highly complementary” custom batteries business into the group. The business, which is based near Yeovil, specialises in the design and manufacture of custom battery packs to a diverse range of industry sectors mainly in the UK.
Gary Marsh, chief executive of Solid State, said: “Creasefield is a specialist in a field where Solid State already has a successful business. The aggregation of these two battery operations creates a business that will be a significant force in its market.”
The group expects that Creasefield will make a “limited but positive contribution” to Solid State in the current financial year, to March 2017, and a “more significant contribution” in the following year.
Management accounts for the year to March 2016 showed a £60,000 pre-tax loss on revenues of £4.82m, which was down from a £735,000 pre-tax profit on£5.87m sales in 2015.
Mr Marsh added: “We have a stated ambition of growing both organically and by making selected complementary acquisitions.
“With a broader sector spread and a greater depth of design and production capability, we expect the enlarged division to be able to further exploit new opportunities in this specialist field.”
Solid State will pay £1.4m in cash initially, with the remaining £140,000 dependent on Creasefield’s completed accounts.
