Business
Acquisition of Boteco Srl
Essentra plc has agreed to acquire Boteco Srl, an Italian manufacturer of mechanical components, for an initial cash consideration of €7.4 million, with up to an additional €2.5 million in deferred contingent consideration. Boteco generated approximately €7.0 million in revenue for the year ended 31 December 2025, and the acquisition multiple is 6.5x EBITDA for the twelve months to that date. This acquisition, expected to complete in the first half of 2026 and funded through existing debt facilities, aligns with Essentra's growth strategy, is anticipated to enhance product expertise, extend its European manufacturing footprint, and deliver an estimated 15% return on invested capital in the third full year of ownership. Disclaimer*
About this update from Essentra Plc
ESSENTRA PLC ("Essentra" or the "Group") ACQUISITION OF BOTECO SRL Essentra plc, a leading global provider and manufacturer of essential components and solutions, is pleased to announce the agreement to acquire Boteco Srl ("Boteco"), an Italian, family-owned, expert designer and manufacturer of mechanical components for an initial cash consideration of €7.4m (the "acquisition"). Based in Vicenza, Boteco is a high-quality business, with over 50 years of operational history supplying over 900 active customers worldwide. The company designs and manufactures a broad range of machine components, including handles, plastic and metal knobs, feet and hinges which complement Essentra's existing product expertise and provide a strong adjacency to its machine and automation end-markets. Essentra has extensive knowledge of Boteco, through a successful trading relationship that has spanned a number of years. Boteco's commitment to investment, including a modern facility with manufacturing and in-house tooling capability, has given it a strong market position. This is further enhanced by Boteco's R&D capabilities focusing on the use of more sustainable materials, which it has incorporated into its current range. The acquisition is fully aligned with the Group's disciplined approach to inorganic growth, both in terms of strategic alignment and delivering financial returns. The acquisition is anticipated to enhance product expertise and will further extend Essentra's manufacturing footprint in Europe. In line with the Group's acquisition criteria, Boteco is expected to deliver attractive revenue synergies through cross-selling opportunities across Essentra's global footprint. The acquisition will be funded through Essentra's existing debt facilities. The total consideration comprises an initial cash payment of €7.4m and deferred contingent cash consideration1 of up to €2.5m on a cash-free, debt-free basis. For the year ended 31 December 2025, Boteco generated revenues of approximately €7.0m. In line with Essentra's acquisition criteria, the initial consideration represents an acquisition multiple of 6.5x EBITDA for twelve months to 31 December 2025. A return on invested capital2 of 15% is anticipated in the third full year of ownership. The acquisition is expected to complete in H1 2026 following the completion of a small number of pre-close conditions. Scott ...