Materials testing group Exova to float
AN international materials testing business created in 2008 by a private equity buyout of a division of Macclesfield company Bodycote, has announced plans to float on the stock market.
Exova, currrently backed US investor Clayton Dubilier & Rice, has sites in Lancaster, Runcorn, Salford, Warrington, Manchester and Stockport, though its corporate headquarters is in Edinburgh.
The company is looking to raise gross proceeds of £110m from an offering of new and exisiting shares, and the funds will be used to reduce borrowings.
Exova, which has 17 laboratories in 22 countries around the world, also published its results for 2013, which showed a 10% hike in revenues to £279m and adjusted underlying earnings (EBITDA) of £49.1m, a 15.1% increase year-on-year.
Exova provides technical, value-added testing for a broad range of advanced materials, components, products and systems to ensure compliance with safety, performance and quality standards.
Chief executive Ian El-Mokadem, who used to be based in Manchester during a previous stint at Centrica said: “Our full year results published today demonstrate our strong, sustained financial performance, which is testament to the group’s development into a highly integrated and focused laboratory network.
“I am very excited by the prospect of our future growth as a listed company. I believe we have the people, the robust systems and technical expertise to continue to fulfil the needs of our customers.”
The company’s financial adviser is NM Rothschild, while Credit Suisse and Goldman Sachs are joint bookrunners.
