Halma Plc (LON:HLMA), the leading safety, health and environmental technology group, today announced the acquisition of Navtech Radar Ltd., a provider of innovative radar surveillance and safety solutions for use in highway monitoring, perimeter security and industrial applications [see Note 1].
Navtech is based in Wantage, Oxfordshire, and will become part of the Group’s Infrastructure Safety Sector. The existing management team will remain with the business.
The initial cash consideration is £21 million on a cash- and debt-free basis, funded from Halma’s existing facilities. Further earn-out considerations, capped at a total of £18 million, are payable in cash, dependent on profit growth in each of the three financial years to the end of March 2021. Navtech’s revenue in the year to 31 March 2018 was £6.2 million and the acquisition is expected to be immediately earnings enhancing.
Andrew Williams, Halma’s Chief Executive, commented:
“Navtech is an exciting addition to our Infrastructure Safety business and builds on our existing strengths in sensing vehicles, people and assets for safety and control applications. It has valuable IP in radar-based hardware and software solutions and also adds a new presence in the fast growing highway and critical infrastructure safety market niches. As well as adding these new capabilities to the Group, I am confident that Navtech will benefit from all of Halma’s strategic Growth Enablers, including International Expansion and Digital Growth, to accelerate and sustain growth in the future.”