Takeover of Strongest Competitor Broner Metals
Berlin, Watford, 12 November 2014 – PSI has acquired 100 percent of the shares of the British Broner Metals Solutions Ltd. The transaction was signed and executed on 12 November 2014. Broner Metals is a leading provider of IT solutions in the field of production planning and control, supply chain management and MES (manufacturing execution systems) for the steel and aluminium industry. The company employs 65 persons in sites in Europe, Asia, North and South America. Broner Metals has customers in 12 countries, some of which are among the world’s largest producers of steel.
Broner Metals expects sales of about 10 million Euros in 2014. The EBITDA fluctuated in the previous years, depending on the steel economy, between 2 and 4.8 million Euros. PSI will pay 12 million Euros in cash for the shares to the seller, Hyperion Systems Engineering Ltd. From 2016 PSI expects an EBIT contribution of just about 1 million Euros after 0.75 million Euros in write-offs from the purchase price allocation as well as additional margin and growth effects for the existing PSI metals business. For Hyperion Systems Engineering Ltd., the transaction is consistent with a strategy focus on solutions and software for hydrocarbons, chemicals and power industries, where the company expects to see its future growth coming from.