Scapa stuck on WEBTEC deal

TECHNICAL tapes maker Scapa has said that it expects pre-tax profits to be ahead of most analysts’ predictions and “significantly ahead” of last year.

The business, which is based in Ashton-under-Lyne, said that progress reported in its interim results had continued during the second half of the year to March 31, with margins improving and a “solid contribution” from the WEBTEC business acquired in December for $45m (£28.2m).

Indeed, the firm said that even after paying an initial $30m in cash for WEBTEC, it still finished the year with net cash of £6.7m.

WEBTEC is a contract manufacturer and distributor of adhesive-backed medical devices that are distributed worldwide.

Scapa said the acquisition “brings exciting new opportunities to the Group and the planned integration is proceeding well”.