Aggreko (LSE:AGK), the former FTSE-100 listed temporary power supplier, has swooped to buy Crestchic PLC in a deal that values the specialist equipment provider at £122mln.
The deal values each share in the AIM-listed group at 401p cash, a 13% premium to Thursday’s closing price of 356p and represents an implied enterprise value multiple of approximately 13.7 times Crestchic's EBITDA from continuing operations.
Aggreko (LSE:AGK) said Crestchic's business is well-aligned with its objective of supporting its customers through the energy sector's transition to more renewable sources of energy and will accelerate plans to target high-growth attractive end-markets such as renewable energy and data-centres.
In a statement, Mike Smith, chairman of Aggreko (LSE:AGK) said: "Crestchic is a world-class business operating in an attractive and specialised area of the power reliability market.”
Peter Harris, executive chairman of Crestchic, added: “The offer of 401 pence per Crestchic share in cash represents an attractive, immediate premium for shareholders, and I am confident that under Aggreko's responsible long-term stewardship the business will continue to thrive."
Crestchic floated in 2006 and specialises in hiring and selling specialist power reliability equipment.
Its purchase by Aggreko will come nearly 18 months after the buyer was itself delisted from the London market following a £2.3bn takeover by I Squared Capital and TDR Capital.