Brickability Group PLC
01 June 2022
Brickability Group plc
("Brickability" or "the Group")
Acquisition of Modular Clay Products Limited
Brickability Group plc (AIM: BRCK), the leading construction materials distributor, is pleased to announce the acquisition of Modular Clay Products Limited ("MCP") for a consideration of £4.75 million.
MCP is a leading supplier of UK and Imported clay facing bricks to the specification sector. Working closely with architects, MCP provides design advice and consultation to ensure the perfect product is chosen for a variety of schemes covering housing, education, healthcare, leisure and recreation. MCP's established track record features contemporary and prestigious projects in the UK and Ireland, including The Shard.
For the 12 months to 31 December 2021, MCP reported unaudited revenue of £10.50 million and normalised EBITDA of approximately £1.30 million.
The consideration is being satisfied by an initial cash payment of c.£3.33 million and deferred consideration of c.£1.43 million payable in cash over the next three years (the "Performance Period"), subject to adjustments to deferred consideration payments for performance against target performance criteria during the Performance Period.
The acquisition will be funded from the Group's existing resources and is expected to be immediately earnings accretive post completion.
Alan Simpson, CEO, Brickability Group plc, said:
"The Group currently addresses the specification sector through our Taylor Maxwell and Bespoke Brick businesses. The acquisition of Modular Clay Products will significantly increase our presence in the specification sector and bring the Group new access to a range of European manufacturers further boosting our strong import capabilities."
For further information please contact:
Brickability Group plc
John Richards, Chairman
Alan Simpson, CEO
Mike Gant, CFO
via Montfort Communications
Cenkos Securities plc (Nominated adviser and broker)
Ben Jeynes, Max Gould (Corporate Finance)
Julian Morse, Alex Pollen (Sales)
+44 (0) 20 7397 8900
+44 (0) 203 514 0897
Brickability is a leading construction materials distributor, serving customers across the UK and Europe for over 36 years through its national and local networks. The company supplies over 550M bricks annually and has 41 locations across the country with over 600 employees.
Across its 3 divisions the Group supplies bricks, roofing, timber, cladding, heating, flooring, doors and windows to meet demand from both housebuilders and contractors.