Coats Group PLC - Uxbridge, England-based industrial thread maker - Agrees to buy Rhenoflex GmbH, a maker of sustainable structural materials for the footwear industry, for enterprise value of €115 million. Cash consideration will be €107 million after deducting assumed retirement liabilities and other adjustments. The consideration will be funded by a placing and retail offer to raise £100 million. The placing price will be determined at the close of the bookbuild.

Firm says the acquisition strengthens its presences in the athleisure and sports footwear market and will be a good fit with recent purchase of Texon. ‘The combination of Rhenoflex and Texon provides Coats with a compelling strategic opportunity to establish a global leader in the fragmented footwear and fashion accessories market, with significant combined growth opportunities through enhanced scale and capability,’ it says.

Current stock price: 66.50 pence

12-month change: down 7.6%

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