Sheffield to buy WMS for 53m pounds: Cash call planned to fund 53m pounds acquisition
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.SHEFFIELD Insulations plans to more than double its size with a rights issue and pounds 53m acquisition, writes Tom Stevenson. The deal will see the founding family of the non-executive chairman, Norman Adsett, reduce its stake in the building products distributor from 54 per cent to just over 20 per cent.
The acquisition of WMS, which designs and distributes metal locks and fittings for doors and windows, will be funded by a three-for-two cash call at 135p. Sheffield's shares rose 5p on the news to close yesterday at 176p. Since September they have risen from a low of 76p.
WMS, which estimates the UK market for locks and hinges to be worth about pounds 600m, had planned to float on the stock market this year. Last January it appointed Bill Forrester, Sheffield's managing director, as a non-executive director to advise the group. He recommended selling out to Sheffield instead.
In the year to last August WMS made pre- tax profits of pounds 5m from sales of pounds 27.5m, a 156 per cent improvement, and nearly three times the pounds 1.7m it made in 1990.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments