1 February 2024
Judges Scientific
plc
("Judges
Scientific", "Judges", the "Company" or the "Group")
Acquisition of Luciol
Instruments SA
Judges Scientific, a group focused
on acquiring and developing companies in the scientific instrument
sector, announces that its subsidiary PE.Fiberoptics Ltd
("PFO") has acquired 100%
of the issued share capital of Luciol Instruments
SA ("Luciol" or the
"Acquisition"), a company
manufacturing and selling instruments to measure optic fibre
properties based in Mies, Vd, Switzerland. The Board
expects the Acquisition to be immediately earnings
enhancing.
The initial consideration for Luciol
is CHF2 million in cash plus an earn-out payment due in
2024 (and/or 2025) equal to four times the average adjusted EBIT
for the four years ended 31 December 2023 (or 2024 if
higher) minus CHF2.0 million. The total consideration,
cash plus earn-out, is capped at CHF2.5 million, which would
be achieved if adjusted average EBIT for either period
exceeds CHF625,000. An additional payment will be made
to reflect any excess working capital over and above the ongoing
requirements of the business, which the Board expects to be covered
by the cash inherited at the completion date.
The consideration for the
Acquisition and associated transaction costs have been funded from
the Group's existing cash balances.
Alex Hambro, Chairman of Judges,
said: "We are
pleased to welcome Luciol, a solid
and profitable company manufacturing quality products, to the
Judges group. The Board believes that its interaction with PFO will
be fruitful."
Information on Luciol
Luciol specialises in the design and
manufacture of instruments that characterize optical fibres using
Optical Time-Domain Reflectometry (OTDR). This is a similar method
to that used by PFO to test telecommunications fibres. Luciol was
established in 2008 by a team of three engineers, two of whom are
still with Luciol and will remain employees until March 2025 to
assist in the transition of the business. In each of the three
years prior to 31 December 2022, Luciol generated adjusted profit
of approximately CHF0.5m.
For further information please
contact:
|
Judges Scientific plc
David Cicurel, CEO
Brad Ormsby, CFO
Tel: +44 (0) 20 3829
6970
|
Shore Capital (Nominated Adviser & Joint
Broker)
Stephane Auton
Iain Sexton
Tel: +44 (0) 20 7408 4090
|
|
|
Liberum (Joint Broker)
Edward Mansfield
Nikhil Varghese
Tel : +44 (0) 20 3100
2222
|
Investec Bank plc (Joint Broker)
Virginia Bull
Carlton Nelson
Tel: +44 (0) 20 7597 4000
|
|
|
Alma (Financial Public Relations)
Sam Modlin
Rebecca Sanders-Hewett
Joe Pederzolli
Tel: +44 (0) 20 3405 0205
judges@almastrategic.com
|
|
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Notes to editors:
Judges Scientific plc (AIM:
JDG), is a group focused on acquiring and developing companies in
the scientific instrument sector. The Group now consists of
23 businesses acquired since 2005.
The acquired companies are
primarily UK-based with products sold worldwide to a diverse
range of markets including: higher education institutions,
scientific research facilities, manufacturers and regulatory
authorities. The UK is a recognised centre of
excellence for scientific instruments. The Group has received
five Queen's Awards for innovation and export.
The Group's companies predominantly
operate in global niche markets, with long term growth fundamentals
and resilient margins.
Judges Scientific maintains a
policy of selectively acquiring businesses that generate
sustainable profits and cash. Shareholder returns are created
through the reduction of debt, organic growth and
dividends.
For further information, please
visit www.judges.uk.com