Keller Group PLC Potential Acquisition (0359B)
January 05 2018 - 2:00AM
UK Regulatory
TIDMKLR
RNS Number : 0359B
Keller Group PLC
05 January 2018
For immediate release 5 January 2018
Keller Group plc ("Keller" or "the Group"): potential
acquisition
Keller today announces that it is in discussions to acquire
Moretrench Inc., a geotechnical contracting company operating
predominantly along the east coast of the US. Moretrench is an all
employee owned business and Keller is making this announcement as
the fact that discussions are ongoing is now being communicated to
a much wider group of Moretrench employees.
Moretrench has a strong heritage of complex geotechnical
projects and, in 2016, had revenue of US$170m, operating profit of
US$9.3m and EBITDA of US$13.9m (excluding US$2.3m of charges
relating directly to the Employee Share Ownership Plan). It is
envisaged that the acquisition, should it proceed, will be funded
wholly in cash using existing borrowing facilities.
The enlarged entity will represent by far the most capable
geotechnical solutions provider on the east coast and will be very
well positioned for the expected long run renewal of
infrastructure. In addition, the acquisition gives Keller access to
new niche geotechnical products as well as new industrial customers
and should have good revenue and cost synergies. Keller and
Moretrench have partnered on a number of successful project JVs in
the past which gives confidence in the mutual compatibility of
culture and management approaches.
The acquisition remains subject to the satisfactory completion
of due diligence.
Keller will make a further announcement in due course.
For further information, please contact:
Keller Group plc
James Hind, Finance Director
Victoria Huxster, Head of
Investor Relations 020 7616 7575
Finsbury
Gordon Simpson 020 7251 3801
Notes to Editors:
Keller is the world's largest geotechnical contractor, providing
technically advanced geotechnical solutions to the construction
industry. With annual revenue of around GBP2.0bn, Keller has
approximately 10,000 staff world-wide. Keller is the clear market
leader in the US, Canada, Australia and South Africa; it has prime
positions in most established European markets and a strong profile
in many developing markets.
For more information, please go to:
http://www.keller.com/investors.aspx and
http://www.keller.com/investors/investment-case.aspx.
LEI: 549300QO4MBL43UHSN10
Classification: Inside Information (DTR Annex 1)
This announcement includes inside information as defined in
Article 7 of the Market Abuse Regulation No. 596/2014 and is
disclosed in accordance with the Company's obligations under
Article 17 of those Regulations. On the publication of this
announcement via a Regulatory Information Service ("RIS"), this
information is considered to be in the public domain.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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