Morgan Advanced Materials to sell UK Electro-Ceramics business
The transaction is structured as a sale of the business, assets and goodwill for £47m on a cash-free, debt-free basis, payable in cash at completion.
In the year to the end of December, UK Electro-Ceramics generated an operating profit of £6.2m on revenues of £22.7m, while gross assets at 31 December 2016 stood at £7m.
Morgan Advanced said the divestment is in line with its strategy to simplify its portfolio and focus on global technology businesses of scale, with proceeds from the sale set to be used for re-investment in the core business.
The UK Electro-Ceramics business - which forms part of the Technical Ceramics Global Business unit of Morgan - produces a range of piezo and dielectric ceramic products used in a wide range of industrial, electronics, medical and defence applications. ■