Electrocomponents unveils £150m in acquisitions, £180m placing

Industrial and electronics products group Electrocomponents on Thursday unveiled two acquisitions worth £150m and a £180m share placing.

The company said it was buying US-based corporate maintenance repair and operations operator Synovos for $145m (£110m) UK personal protective equipment (PPE) maker Needlers for £40m.

Electrocomponents said it was raising the cash to pay for the acquisitions via an accelerated bookbuild with the placing price determined at the end of the process.

It added that Covid-19 related costs, predominantly freight, remained elevated. “As we continue to navigate through the lockdowns of this global pandemic we remain cautious about the economic backdrop and short-term uncertainties such as Brexit, but we are encouraged by the strength of our business performance,” the company said.