(MENAFN- ProactiveInvestors - Australia) Brambles (ASX: BXB) will acquire Pallecon, a provider of intermediate bulk container solutions in Europe and the Asia-Pacific, for €135 million (A$168.6 million).
The company has inked a sale and purchase agreement to acquire Pallecon, which generated sales revenue of €53 million in the 12 months ended 30 September 2012.
EBITDA and EBIT margins averaged 33% and 18% respectively over the same period.
Pallecon, a division of CEVA Logistics, has witnessed compound annual sales growth in excess of 7% over the three calendar years to 31 December 2011.
The company operates mainly in Western Europe, Australia and New Zealand providing intermediate bulk containers primarily for the transportation of liquids in the food, cosmetic and chemical industries.
It has been operating for more than 30 years and operates a pool of about 180,000 intermediate bulk containers worldwide.
The transaction price represents a multiple of 7.4 times Pallecon's EBITDA and 11.8 times its EBIT for the 12 months ended 30 September 2012.
Brambles plans to fund the acquisition from existing bank borrowing facilities.
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