Flowtech buys hydraulics business
TECHNICAL fluid power products supplier Flowtech Fluidpower has bought Triple Six Limited for £1.1m, in its third acquisition of the year.
Based in Yorkshire, TSL designs and distriutes ranges of hydraulic cylinders and semi rotary actuators to industries including civil engineering, railways, nuclear and marine.
For the year ended 31 December 2015, its turnover was £1.2m producing a pre-tax profit of £150,000. Net assets at the same date were £500,000.
TSL will trade as part of Flowtech’s Power Motion Control division (PMC) under the leadership of its managing director Steve Rushworth, who established TSL in 2008.
Skelmersdale-based Flowtech will pay £750,000 for the trading operation and a further £350,000 for the net cash position. It will pay £450,000 of the £750,000 on completion with the balance being contingent on the operating profit performance of the business over the next two years.
The company said the purchase would further strengthen its product offering in the hydraulics sector.
Sean Fennon, chief executive, said: “The acquisition of TSL continues the development of our PMC division and further enhances our offer to the power and motion control market. The acquisition again widens the customer sectors we serve. This is our third acquisition of 2016 and sixth overall since we came to market, and we are confident of further progress with our acquisition strategy before the end of the year.”
Flowtech also announced its half year update to the end of June, which showed revenued up on the previous year to £27.4m (HY2015: £21.4m) and it added that it expects to increase the dividend payable for 2016.
