announced on Friday that it has made its first acquisition since listing on AIM last year.
Brickability, the construction materials distributor, bought McCann Roofing Products Limited, a roofing products importer and distributor for £2.75 million in cash.
Brickability said the acquisition would increase and diversify its European material supply and product range, as well as expand its distribution of roofing products into new regions across the UK.
"Bringing McCann into the Brickability Group is very exciting” said Alan Simpson, CEO of Brickability. “This is exactly the sort of acquisition we set out to make when we listed: the right price with strong management, great performance and a strong business model that fits the Brickability mould.”
Shares in Brickability were trading flat at 74p on Friday.
McCann is a specialist importer and distributor of natural and man-made building products, focused on roofing, importing high-quality materials from producers across France, Spain and Belgium.
McCann reported profit before tax of £0.7 million on revenues of £8.2 million for the year ending December 2019.
Mr. Simpson said: "We look forward to welcoming the McCann team and working with them to keep growing the Group, diversifying our product range and increasing our distribution footprint.”
He added: "We have to keep delivering for our shareholders, so expect our focus on acquisition and expansion to continue."
The acquisition is to be funded from Brickability’s cash resources, and is expected to be “immediately earnings accretive”, the company said.
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CEO Simon Potter commenting on the loan note issuance said: “we have now secured a funding package with considerably less overall dilution to shareholder equity than most commentators expected would be required.”