Acquisition of Randor Technologies Limited

Amcomri Group plc (AIM: AMCO), the UK focused specialist engineering services and industrial manufacturing group, announces completion of the acquisition of Randor Technologies Limited (t/a Electronix Services - "Electronix").

Electronix is based in Ireland and provides a specialist industrial electronic repair and reverse engineering service for high value electronic units and systems used in many industrial environments, many of which can be operationally critical for their customers. Following the Acquisition, Electronix will become part of Amcomri's fast growing Embedded Engineering Division.

The initial cash consideration of €2.0m was paid from existing cash resources on completion of the Acquisition, with the remaining balance of up to €1.5m being paid on a deferred basis based on an earn-out agreement, in line with previous acquisition structures.

Highlights

• Electronix has built a strong reputation and established long-standing customer relationships with recurring business across the rail, pharmaceutical, medical devices, computing and power electronics sectors.
• Extensive technical expertise and capability to modernise and upgrade potentially obsolete units, providing customers with significant opportunity to safely and reliably extend life of complex electronic assets.
• Highly skilled workforce and management team with in-depth technical knowledge and expertise within their chosen customer industrial and technology segments.
• Significant progressive synergy potential with existing Amcomri 'Embedded Engineering' electronic repair sector businesses, TP Matrix and Etrac.
• Potential to progressively expand Electronix's proven expertise in life extension of critical electronic units into other industrial and geographic areas not currently serviced by Electronix, via existing Amcomri customers.
• Consistently generating strong financial results and positive cash flow, with significant repeat revenue characteristics across a quality customer base.

Acquisition Rationale

Amcomri has a proven track record of acquiring and enhancing specialist electronics businesses, following its previous acquisitions of TP Matrix and Etrac. The acquisition of Electronix provides a retirement exit for the shareholders Maurice and Rena Regan, and Maurice will remain in the Company as General Manager.

The acquisition of Electronix enables the Group to expand its portfolio within the specialist electronics repair sector, and to broaden the range of specific technical services provided by the Embedded Engineering division.

Electronix's expertise in electronic repairs across the rail, pharmaceutical, and medical industries in Ireland complements Amcomri's strengths in these same markets operating in the UK, whilst also providing the potential for Amcomri's Embedded Engineering division to broaden its reach within the EU market.

For the year ended 28 February 2025, Electronix generated a normalised profit before tax of €0.73m.

Mark O'Neill, Investment Director of Amcomri, commented:

"We are very pleased to confirm our first acquisition in Ireland and our second acquisition this year since our admission to AIM in December 2024. The acquisition of Electronix not only strengthens our ambitious organic and acquisitive growth strategy, but also marks Amcomri's first acquisition outside of the UK, as we continue to roll out our proven 'Buy, Improve, Build' model.

"Following the previous acquisitions of TP Matrix and Etrac, Electronix provides an exciting and logical extension to our growing group of specialist electronics repair and overhaul businesses, and we look forward to working with Maurice, Rena and the team at Electronix to deliver further success to the business."