BOC Edwards announces that it has entered into an agreement to purchase the vacuum and pressure interests of Smiths Group for a sum of £12.8 million ($19 million)
The business to be acquired, which is part of Smith's Sealing Solutions Division, comprises Stokes Vacuum, Hick Hargreaves, Hibon and Wilhelm Klein (WKE).
The deal is expected to be complete by the end of November, subject to regulatory approval, and will add more than £50m ($75m) to BOC Edwards' annual sales revenue.
"The addition of these well respected brands to our portfolio will create a broader platform for growth", said Steve Ormrod, business development director for BOC Edwards' General Vacuum business.
"Our combined customer base will benefit from new products, based on BOC Edwards' renowned dry pumping technology, as well as valuable systems engineering expertise for a diverse range of industrial applications.
The widened distribution network will enable us to extend our reach to new customers throughout the world".
Smiths' vacuum and pressure companies employ 700 people across the UK, USA, France, Germany, Canada and the Czech Republic.
Principal products include piston vacuum pumps, liquid ring pumps, pressure blowers and steam ejectors.
Key markets for these are metallurgy, wastewater, power, chemical, petrochemical and food.
Commenting on the deal, Raj Rajagopal, chief executive, BOC Edwards, said: "This important acquisition will supplement our industrial vacuum business and is part of a strategy to offset our exposure to the cyclical semiconductor market.
Not only will it strengthen our capability in high capacity vacuum pumps, it will also add positive pressure blowers, which are based on similar technology and manufacturing skills".
