Halma PLC (LON:HLMA), the leading safety, health and environmental technology group, today announced that it has acquired Sensit Technologies, LLC, a gas leak detection company based in Indiana, USA.
Sensit manufactures equipment and designs technologies that enable natural gas utilities to detect leaks in their pipes, protecting workers in the natural gas distribution industry, ensuring compliance with regulatory standards, and reducing climate change effects by minimising emissions of methane. Their technology is also used in emergency response situations by firefighters facing explosion risk due to leaking natural gas.
Sensit will become part of Halma’s Process Safety sector and will continue to be led by its existing management team, who were significant shareholders, from its current location.
The cash consideration for Sensit is US$51.5 million (£39.6 million1), on a cash and debt free basis, which will be funded from Halma’s existing facilities. When adjusted for tax benefits with a net present value of approximately US$5 million (£3.8 million), the net initial consideration is approximately US$46.5 million (£35.8 million).
Sensit’s unaudited revenue and Adjusted EBIT for the twelve months ended December 2019 were US$25.9 million (£19.9 million) and US$4.4 million (£3.4 million), respectively.
Andrew Williams, Group Chief Executive at Halma, commented:
“Sensit enhances Halma’s gas detection capabilities, with its strong market position and technological capabilities in the natural gas leak detection market. Its growth is supported by tightening safety and environmental regulatory standards, which protect communities and workers from hazards, and minimise climate change impacts. We look forward to working with its management team and continuing its strong track record of growth supported by Halma’s strategic Growth Enablers.”