aiLimited acquisition expands SA auto operations

Perth-based company aiLimited South Australian subsidiary aiAutomotive has entered into an agreement to purchase all shares in Adelaide based automotive components manufacturer Henderson Components Pty Ltd.

aiA believes the final price to be between $4 million to $5 million, and hopes to gain access to new technology and new customers through the acquisition

The full announcement is pasted below

The directors of aiLimited are pleased to announce that aiAutomotive, a wholly owned subsidiary has entered into an agreement to purchase all of the shares in Henderson Components Pty Ltd.

Hendersons is an Adelaide based automotive components manufacturer. The original Hendersons business was founded in 1892 and is a highly regarded supplier of a variety of metal products, in particular seating components, to the Australian car industry.

The acquisition will broaden the product offering of aiA through the addition of transfer press technology, specialised welding capability and IP that form the foundations of Hendersons success. The acquisition will also add new customers to aiA's base including Futuris and Ford Australia.

The final purchase price will be determined by the results of a completion account process to be undertaken within the next month but is likely to be in the range of $4m - 5m. Once settled under the aiA corporate structure it is believed the business will add $1.5m - 2m to aiA's annual earnings before the contribution from several potential new business development opportunities.