DiscoverIE acquires human-to-machine manufacturer Cursor Controls

Customised electronics outfit DiscoverIE acquired Cursor Controls on Wednesday for an initial cash consideration of £19m, rising to a possible £23m.

DiscoverIE expects the acquisition to be immediately earnings enhancing

DiscoverIE snapped up holding company Castlegate 737, which owns Cursor, a designer and manufacturer of human-to-machine interface products for medical, industrial and transportation applications, on a debt free, cash free basis.

In addition to the £19m initial consideration, funded from existing debt facilities, an additional payment of up to £4m will be payable if Cursor hits certain profit growth targets before 31 December 2021.

Chief executive Nick Jefferies, said: "The acquisition of Cursor Controls continues our strategy of building a differentiated, international, growth-focused electronics group with higher operating margins."

"Cursor Controls has a well-established track record of supplying high-quality trackballs, trackpads and rugged keyboards internationally and into growth markets. They will gain access to our wider base of customers and with it, new sales opportunities."

As of 0850 BST, DiscoverIE shares were untraded at 380p.