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Origin Enterprises buys Belgium-based Pillaert-Mekoson
AIM-listed agri-services group Origin Enterprises has bought Pillaert-Mekoson, a Belgian provider of standard and prescription fertilisers for an undisclosed sum on a debt dree and cash free basis.
The acquisition, which is expected to be earnings enhancing in the first full year of ownership, is being funded from existing bank facilities.
Headquartered in Ghent, the company's turnover for the 2017 financial year was 35m, while maintainable earnings before interest, tax, depreciation and amortisation were around 1.8m.
Origin chief executive officer Tom O'Mahony said: "Pillaert-Mekoson is an excellent strategic fit for the group. The transaction strongly complements our prescription fertiliser and speciality nutrition business and benefits from a well invested and strategically located asset base. The acquisition will add further scale to the group's crop nutrition portfolios and will provide an important expansion into a new geography offering multi-channel access to farm with meaningful future growth potential."
Pillaert-Mekoson managing director, Peter Pillaert, said: "My management team and employees are delighted to join forces with Origin, being one of the most dynamic and significant players in our industry in Europe today.
"In Origin we have a like-minded partner with an extensive range of innovative nutrition products and a depth of technical support and product knowledge which will enable our client offering and service to take a substantial step forward."