Elektron enters exciting nanotechnology arena

Elektron has acquired Sifan Instruments on the 9th Aug 2007.

http://www.sifam.com/

Sifan has 4 operations....Digitron (temperature probes etc) , Control knobs , meters, queensgate instuments ( nanotechnology division).

Sifam is an exciting acquisition for Elektron. It takes them into higher margin and more sophisticated products.

This is what Elektron had to say about the purchase...


Change of ownership at Sifam Instruments Ltd

"We are delighted to announce that Sifam Instruments Ltd has been sold to specialist electrical company Elektron with the deal being finalised on 8th August. Digitron Instrumentation Ltd, a wholly owned subsidiary of Sifam, is also included in the sale of the overall company. We expect the acquisition to bring new ideas and energy resulting in new product and customer service offerings.
Chairman of Sifam Instruments, Ian Bye, said: "I am confident that this is an excellent fit for both parties and that we will benefit from being part of a much larger group.
Chris Leigh, a spokesman for Elektron, says "We have bought Sifam because we believe in the business and it is one that we want to invest in and see prosper, not for job cutting purposes. It will continue to be run in pretty much the same way by the existing management.
Adrian Girling, chief executive of Elektron, said: "We are delighted to welcome the Sifam businesses, with their well-known brand names, to the Elektron team. Sifam and its subsidiaries bring technologies and expertise that will help Elektron decrease its dependence on low cost commodity components.
The purchase ends a period of speculation and uncertainty, and is warmly welcomed by the 180 staff at our Torquay site."

Financial details:-

Elektron paid on completion an initial consideration of £2 million in cash financed from its own resources. The consideration may be increased or reduced on a pound for pound basis by a maximum of £300,000 subject to net assets at completion (with Sifam's freehold property assets included at cost price) being greater or less than £2.1 million and/or profits for the year to 30 November 2007 being greater or less than £285,000.
Post completion, Sifam will settle in full its liability of £910,000 owing to the Sifam Limited Retirement and Death Benefits Plan. No further payments will be due in this respect.

Post acquisition 10th August 2007

Elektron sold the freehold properties and did a sale and lease back to Panther Secutities.

http://www.elektronplc.com/html/DisposalofSifamproperties.htm

Result an exceptional profit of over £1 million !