SDI Group plc, the automated materials handling company has acquired four companies
from Beteiligungsgesellschaft mbH (‘PEP’) in Germany for €2.76m.
Founded in 1996 the four companies: PEP Fördertechnik GmbH, PEP
Anlagenbau GmbH , PEP Systemtechnik GmbH and Innova Plast Kunststofftechnik
GmbH, employ 46 staff and have customers that include C&A in Germany, DHL
in Germany and Denmark, JBC in Belgium and La Poste in France. In the year
to 31 December 2007, the four companies produced a combined profit before
tax of €393k (unaudited) and had net assets of €1.85m (unaudited) as at
31 December 2007.
The acquisitions follow the Group’s stated strategy of geographical
expansion, initially into Germany, India and Brazil. They also reflect the
importance of the German domestic market and will allow SDI to effectively
compete as a full service integrator in a market approximately the size of
the UK. The four companies, along with the Group’s existing German software
business, will form the foundation of the SDI Germany operation. SDI expect that,
over time, the Group’s German business will become a key part of the SDI Group.
Commenting on the acquisition, Gordon Smith, CEO of SDI Group said: ‘This
acquisition of the PEP companies provides SDI Group with instant exposure
to the fast growing German market and provides us with access to PEP’s
market leading range of products which we will be able to sell to our
customers worldwide. Whilst we expect the acquisition to be earnings neutral
in the current financial year, we believe it to be of enormous strategic
importance going forward and will further extend our footprint and presence
in the European market.’