Australian buy boosts McKechnie
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.SHARES in McKechnie, the plastics and metal components company, jumped 13p to 464p on news of an Australian acquisition and a South African disposal. Some 500,000 shares changed hands, writes Alison Eadie.
The company, which views the Pacific rim as a growth area, is paying Adollars 12.5m ( pounds 6m) for Regency Group, a leader in the Australian shower-screen and wardrobe market and manufacturer of security doors, balustrading and pool fencing. Regency has annual sales of Adollars 42m, assets of Adollars 4m and pre-tax profits of about Adollars 3.5m.
McKechnie's chief executive, Michael Ost, said: 'The extensive use of aluminium extrusions and security mesh by Regency will provide considerable synergistic benefits to the New Plymouth-based McKechnie Metals and to the recently acquired Phipps International security business.'
The company has also disposed of its last interest in South Africa to Delta Group. The pounds 11m sale of its 18.8 per cent stake in Cobra, the industrial services company, provides funds for developing other businesses, Mr Ost said. Cobra made a pre-tax contribution of pounds 2.7m to McKechnie last year.
Delta owns 37.6 per cent of Cobra. Tomkins, the UK conglomerate, also owns 37.6 per cent and German company Grohe the balance.
McKechnie's offer document for Linread in the agreed pounds 27m bid said the combined group would create a stronger international competitor in fastener technology.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments