Robinson PLC Completion of the acquisition of Madrox (5408K)

TIDMRBN

RNS Number : 5408K

Robinson PLC

26 June 2014

Robinson PLC

("Robinson")

Completion of the acquisition of Madrox

Robinson is pleased to announce completion of the acquisition of MADROX Spó ka Jawna, a Polish based manufacturer of plastic packaging, details of which were announced on 14 February 2014. The total consideration, which includes an earnout element payable in 2016, is estimated at GBP13.2m. The level of the earnout is dependent upon performance of the Madrox business prior to the payment of the earnout. The initial cash element of GBP10.6m has been funded from cash reserves and property backed bank debt (including GBP3.5m of new debt, denominated in PLN, repayable over 4 years at WIBOR plus 1.4%).

The audited Madrox accounts for the year ended 31 December 2013 reported sales of GBP9.8m and a profit before tax of GBP2.2m. Net assets were GBP5.1m.

Commenting on the acquisition Richard Clothier, Chairman of Robinson, said:

"The acquisition of Madrox is fully in line with our strategy to expand in Central Europe partly through selective acquisition of local plastic packaging manufacturers who supply the strong brand owners and leading private labels in our sectors. It will allow us to take a more prominent position in the growing plastic packaging markets in this region."

For more information please contact:

 
Robinson plc 
Guy Robinson, Finance Director  Tel: 01246 389283 
                                www.robinsonpackaging.com 
WH Ireland Limited 
Katy Mitchell                   Tel: 0161 832 2174

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