In a deal worth £35,494,400, the Fareham firm snapped up Florida-based ammunition manufacturer Martin Electronics Inc (MEI), which counts the US Army as one of its top customers.
The move comes hot on the heels of the firm's takeover of ejector-se
at makers Scot on May 27, reported in BusinessWeek, for more than £20m.
The recent buy-up is part of the firm's push to grow its share of the fragmented global energetics market, which deals in high-energy material ranging from magnesium distress flares to live warheads.
Although headquartered in Whiteley, Fareham, three-quarters of Chemring's turnover is now concentrated overseas, and it has 1,800 overseas workers in addition to its 1,050 UK staff.
The firm has also announced its six-month interim results, showing a record order book of £425m – up by 45 per cent since June 2007 – with after-tax profits soaring by 29 per cent to £14.5m.
MEI, which reaps profits of £2m a year on a turnover of almost £13m, is the newest acquisition by Chemring, which has been steadily buying up American firms since 1993.
It acquired aerial decoy makers Alloy Surfaces Company Inc in 1993, and in 2001 Chemring became the largest provider of decoys to the US military through its buy-up of Kilgore Flares Company LLC.
The full article contains 235 words and appears in The News newspaper.
