LONDON (ShareCast) - (Sharecast News) - Digital imaging and sensing technology company SDI Group announced the acquisition of Safelab Systems on Monday - a UK manufacturer of fume cupboards.
The AIM-traded firm said total consideration was forecast to be around £7.7m, net of cash acquired.

It said Safelab produces high-specification fume cupboards and similar cabinets, for both commercial and research laboratories.

It said it has a "special focus" on the education sector, which requires versatile and fully-featured ducted cabinets, often specified in newly-built or refurbished laboratory facilities.

Safelab's cabinets are designed and manufactured in a dedicated facility in Weston-Super-Mare, with the company expecting revenues for the year ended 28 February to be about £4.8m, with adjusted EBIT of £0.9m.

The acquisition was expected to be broadly neutral to the 2022 financial year, SDI said, and enhancing to profit and earnings in 2023.

Its board said the acquisition followed its December 2020 purchase of Monmouth Scientific - a manufacturer of clean rooms, fume cabinets and safety cabinets based in Bridgwater.

The company was expecting to maintain the identity and autonomy of both companies in their current locations, while looking for opportunities to enhance the total customer offer.

"The acquisition of Safelab is another step in our Group growth strategy, and the second significant acquisition of the financial year, demonstrating again the opportunities to acquire in sectors related to our existing portfolio," said chairman Ken Ford.

"The acquisition is expected to be earnings enhancing in the 2023 financial year.

"We are delighted to welcome Roger Guess and his staff to the SDI Group."

At 1203 BST, shares in SDI Group were up 3.43% at 181p.

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