Business
Potential Acquisition
Potential Acquisition.
About this update from Keller Group Plc
[{"type":"text","content":"\n \nRNS Number : 0359B Keller Group PLC 05 January 2018 \n\nFor immediate release 5 January 2018\n \n \nKeller Group plc (\"Keller\" or \"the Group\"): potential acquisition \n \n \nKeller 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.\n \nMoretrench 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.\nThe 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.\nThe acquisition remains subject to the satisfactory completion of due diligence. \n \nKeller will make a further announcement in due course.\n \n \nFor further information, please contact:\n\n\n\n\nKeller Group plc\n\n\n\n\n\n \n\n\n\n\nJames Hind, Finance Director\nVictoria Huxster, Head of Investor Relations\n \n\n\n020 7616 7575\n\n\n \n\n\n\n\nFinsbury\n\n\n \n\n\n\n\nGordon Simpson\n\n\n020 7251 3801\n\n\n\n\n \nNo...