Feb 22 2006
Morgan Crucible's ("Morgan") Insulating Ceramics division ("Insulating") has reached an agreement to acquire the ceramic fibres business of Cookson Group plc. The cash consideration is $21 million for the assets of the business.
The assets consist of 2 productions sites, one in Poland and the other in Tennessee, USA, both of which provide high temperature insulating fibre focussed towards the iron and steel markets.
The acquisition will both enhance the geographical presence of our Insulating Ceramics division in Eastern Europe and its production capacity in North America. It also reinforces the market position of the Insulating business.
Warren Knowlton, Chief Executive Officer, commented,
"The Magnetics disposal in September 2005 transformed the financial strength of Morgan. At that time we announced that we would be looking to make bolt-on acquisitions. This is our first such acquisition since that time and I am pleased that it is increases our Group exposure to more dynamic markets and will be margin accretive".