REG-XP Power Ltd: Acquisition(s) <Origin Href="QuoteRef">XPP.L</Origin>

XP PowerAnnouncement

25/11/2015 07:00

25 November 2015

                               XP Power Limited                                

                         ("XP Power" or the "Company")                         

                 Acquisition of EMCO High Voltage Corporation                  

XP Power announces that it has acquired the business and assets of EMCO High
Voltage Corporation ("EMCO"), a designer and manufacturer of high voltage power
modules (the "Acquisition").

Total consideration of US$12.0 million (£7.8 million) was paid in cash on
completion.  The Acquisition is on a debt and cash free basis and was funded
with a new US$12.0 million term debt facility. 

EMCO, based in Northern California and with manufacturing operations in Nevada,
supplies the industrial and medical sectors with a broad range of standard,
modified and custom high voltage products.  In the fiscal year ended 31
December 2014, EMCO recorded sales of US$7.9 million (£5.1 million).

As well as a product offering suitable for an array of applications used by
some of our existing customer base, EMCO will bring a number of new customers
to XP Power.

The Acquisition is expected to be enhancing to the Company's earnings per share
in 2016*.

Duncan Penny, Chief Executive of XP Power, said:

"We are delighted to welcome EMCO to the XP Power Group and are excited about
the opportunity of offering their products through our sales channel. The
Acquisition will enable us to provide our existing customers with a
comprehensive product offering in high voltage technologies, a market segment
with robust demand fundamentals but one in which we did not previously
specialise.  We are confident that EMCO will have a very successful future as
part of XP Power."

* This statement does not constitute a profit forecast

                                     Ends                                      

Enquiries:

XP Power

Duncan Penny, Chief Executive Officer +44 (0)118 976 5086

Jonathan Rhodes, Finance Director +44 (0)118 976 5074

Citigate Dewe Rogerson +44 (0)20 7638 9571

Kevin Smith/Jos Bieneman



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