Michelmersh Brick has bought leading brick fabricator and manufacturer of off-site pre-built brick products Fabspeed for £6.2m.
Fabspeed is a manufacturer of pre-fabricated building products with a significant focus on bespoke, complex and specialist products, including chimneys, arches, canopies and cladding panels
The business currently operates from three facilities, two in West Yorkshire and one in Oxfordshire, employing around 90 people.
Frank Hanna, Joint Chief Executive Officer, said: “Fabspeed is a great addition to our business, enabling us to create a leading business in both clay and pre-fabricated products.
“With cross-selling and distribution synergies to unlock over the coming periods, we expect to enhance what is already an earnings accretive deal to deliver further value for our shareholders as we integrate both businesses.”
The up-front acquisition price represents a multiple of 5.3 times Fabspeed’s 2021 EBITDA.
Fabspeed delivered a profit before tax of £0.6m for the 12 months ended 31 December 2021 and at the same date, Fabspeed has gross assets of over £5m.