DET Deltron Elec.

RNS Number:6952A
Deltron Electronics PLC
12 November 1999

  
DELTRON ELECTRONICS PLC

Deltron adds German distribution arm
via the acquisition of C&K Components GmbH for #2.8 million

Deltron Electronics plc ("Deltron"), the Pan-European
distributor of electromechanical components and solutions,
announces today the acquisition of C&K Components GmbH ("CKC")
for a total consideration of up to DM8.5 million (#2.8
million).

The consideration is being satisfied by the allotment of
575,431 ordinary shares of 5p each ("Consideration Shares")
together with up to DM5.7 million of cash, and a deferred loan
note of DM1.4 million payable in four equal six monthly
instalments starting 15 May 2001.  Application has been made
for the Consideration Shares to be admitted to the Official
List of the London Stock Exchange ("Admission"). It is expected
that Admission will become effective today.

CKC, a distributor of electromechanical components, which has a
highly similar product range to that of the Deltron Group is
based in Germany and has been involved in the development of
the German component market for over 25 years. In the year
ended 31 December 1998, CKC reported pre-tax profits of DM
632,000 on turnover of DM 26.5 million and had net assets of DM
1.7 million.

This acquisition will give Deltron access to the important
German market enabling it to provide a wider Pan European
coverage to its suppliers as well as expanding its customer
base.  Deltron as enlarged by the acquisition, will have direct
representation in all the major European markets covering more
than three quarters of the market by value.

Christopher Sawyer, Chief Executive of Deltron commented:
"This acquisition is a major development in expanding our
presence in Europe and we are confident that the synergies with
C&K Components GmbH are exactly what Deltron requires. Trading
at CKC during the first half of 1999 has been above 1998
performance and we expect the transaction to be earnings
enhancing with effect from the current year."

For further information, contact:

Christopher Sawyer, 
Deltron Electronics plc      Tel: 0171 466 5000 (today)

Edward Tozer                 Tel: 01638 561156
(thereafter)

Chris Callaway, 
Beeson Gregory               Tel: 0171 488 4040

Andy Yeo/Tim Anderson, 
Buchanan Communications      Tel: 0171 466 5000


END
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