Court gives green light to £265m acquisition of PTSG
A £265m takeover bid for Castleford-headquartered Premier Technical Services Group (PTSG) has been given court approval, paving the way for the firm to be de-listed this week.
Bidco, a newly-incorporated company established on behalf of Macquarie Principal Finance Pty, the UK branch of Macquarie Group, announced its acquisition plans for the Castleford-headquartered business last month. Shareholders approved the deal last week.
A court hearing has now given the final approval to the deal. This made Tuesday July 30 the last day of dealings in, and registration of transfers of, PTSG shares.
PTSG shares on AIM will be suspended from 7.30am on Wednesday 31 July. The firm will be de-listed from Thursday 1 August.
Lead financial advice was provided by Giles Taylor of KPMG and supported locally by Ben Taylor and Sophie Redburn.
Taylor, Partner at KPMG, said: “At a time when we’re seeing a general slowdown in M&A activity in the UK, such a major investment represents a quickening of the pulse for the Yorkshire market. While some have opted to stick rather than twist, it is heartening to see one of the region’s homegrown successes continuing its organic and acquisitive growth with new backing.”
Paul Teasdale and Roger Teasdale will continue as Chief Executive Officer and Managing Director respectively following completion of the acquisition.
PTSG floated in 2015 and currently has a market capitalisation of £109m. The firm has been reporting strong organic and acquisitive growth in recent years. For the year ending 31 December 2018, the firm saw revenues reach £69.1m, which marks a 31% rise on the £52.9m achieved the year prior.
The group’s Electrical Services’ division reported the biggest increase in revenue, rising by 53% to £30.8m. It is now the largest division accounting for 45% of the overall revenue. During year, pre-tax profits also rose from £1.8m to £3.7m and PTSG’s gross profits increased by 29% from £27.1m to £35m.
Its most recent acquisition was Trinity in Exeter, which it completed for £10.8m. In March, the firm announced a £50m increase to its banking facilities and last month, PTSG announced it had seen a strong start to the year.
