Hargreaves Services associate acquires DK Recycling und Roheisen

Property services firm Hargreaves Services' associate company Hargreaves Raw Material Services has acquired a 94.9% stake in DK Recycling und Roheisen.

Hargreaves picked up the interest from DK Holdings for just €1.0.

The AIM-listed firm said it acquired the business as part of an effort to further its strategy of creating an integrated specialist manufacturing and minerals trading business in Germany's industrial heartland.

DK's 2018 accounts showed revenue of €135.0m and a loss before tax of €2.2m. At the time, DK had net assets of €15.8m but after fair value adjustments to comply with IFRS, the group's board estimated that the net assets of DK were approximately €1.0.

DK expects to break even in 2019 but as HRMS is an associate company, Hargreaves will not consolidate its results into the wider group's results.

As of 1200 GMT, Hargreaves shares were untraded at 290p.