Elektron Technology plc
("Elektron" or the "Company")
Sale of Digitron
Elektron Technology plc, the global technology group, has completed the sale of the business and assets (excluding trade debtors and creditors) of Digitron to The British Rototherm Company Limited for a total gross consideration of £0.3million cash payable on completion. Digitron is a manufacturer of instruments for pressure and temperature measurement.
In the year ended 31 January 2017 the business of Digitron traded as a brand within Elektron Technology UK Limited with sales of £1.4 million and 'Brand Contribution' of £60,000. Brand Contribution is an internal measure of profitability before the allocation of certain Group pooled costs such as finance, information technology and human resources. After making a deduction for a fair share of these costs the Board estimates the Digitron contribution to be immaterial for the year ended 31 January 2017. The total gross consideration represents the approximate net value of the Digitron assets being transferred.
The cash proceeds will be used by Elektron for working capital purposes.
As previously announced, the sale is part of the Group's rationalisation of its portfolio, focusing its investment on the core segments of Bulgin, IMC (Instrumentation, Monitoring and Control) portfolio and Checkit. Elektron is continuing to transform its business, building a technology led company through its strategy of innovation, streamlining operations and investing in infrastructure, people and capabilities.
Elektron Technology www.elektron-technology.com
01223 371000
John Wilson - Chief Executive Officer
Andy Weatherstone - Chief Financial Officer
finnCap (Nominated Adviser and Broker)
+44 (0)20 7220 0500
Ed Frisby/Scott Mathieson (Corporate Finance)
Malar Velaigam (Corporate Broking)
The information communicated in this announcement is inside information for the purposes of Article 7 of Regulation 596/2014.
Notes to Editors
Elektron conceives, designs and markets innovative engineered products and services for businesses that connect, monitor and control
We have a multi skilled team of engineers, software and product line specialists based in Cambridge focused on the opportunities created by global trends in the following areas:
- Demand for ubiquitous power and data: Bulgin
- New waves of "aware" business applications: Checkit
- The effect of ageing on sight: Elektron Eye Technology
- Quality testing and inspection instruments: Sheen
- Growth in high precision manufacture: Queensgate