March 19 British plastic and fibre products
supplier Filtrona Plc said it would buy Contego
Heathcare Ltd for 160 million pounds ($241.7 million) in a deal
that is expected to add to earnings immediately.
The acquisition will be funded in part through proceeds from
a share placement of about 10 percent of Filtrona's share
capital that is expected to raise about 133 million pounds, and
from existing debt facilities.
Contego, which makes cartons, leaflets, self-adhesive
labels, and printed foils for blister packs for the
pharmaceutical and healthcare industries, reported core earnings
of 17.9 million pounds on revenue of 102.7 million pounds in the
year ended Dec. 31.
Contego's product portfolio is complementary to Filtrona's
existing packaging business that supplies the pharmaceutical and
healthcare markets with items like labels and tear tape,
Filtrona said in a statement.
Shares in Filtrona were down 2 percent at 649.7 pence at
0804 GMT on Tuesday on the London Stock Exchnage.