Marshalls boosts earnings with £38m acquisition

Elland-based Marshalls said '‹CPM will initially trade as Marshalls CPM within the wider Marshalls Group.

M'‹arshalls' chief executive '‹Martyn Coffey said:'‹ '‹“Marshalls’ 2020 Strategy is to grow both organically and through carefully selected earnings'‹ '‹enhancing bolt-on acquisitions with a particular focus on the identified growth areas of water'‹ '‹management, security and mineral products.

'‹"'‹The acquisition of CPM represents a significant'‹ '‹step towards achieving one of our strategic goals. CPM is a profitable business with a strong'‹ '‹track record of quality and service, primarily targeting '‹p'‹ublic '‹s'‹ector and '‹c'‹ommercial end'‹ '‹users and the acquisition will expand Marshalls’ product range into below ground drainage.'‹"'‹

'‹CPM was established in 2004 and reported revenue of £51.2m and '‹pre-tax '‹profit of'‹ '‹Â£4.6m in the year '‹to December '‹31'‹. It operates from two manufacturing'‹ '‹sites at '‹'‹Pollington, near Goole in East Yorkshire,'‹ where it employs around 150 people, and at Mells in Somerset'‹. It also has'‹ ancillary'‹ '‹offices in the Midlands and Scotland'‹ and'‹ employ'‹s'‹ around 350 people'‹ in total'‹.

CPM manufactures concrete pipes, containment and inspection chambers, manhole covers, retaining'‹ '‹walls and other bespoke industrial concrete products for the construction sector, including'‹ '‹housebuilding and major infrastructure projects such as Hinkley Point A, HS2 and A14'‹ '‹Cambridge.

The acquisition will be funded from '‹Marshalls' '‹existing '‹g'‹roup facilities.

Mike Stacey, former '‹m'‹anaging '‹d'‹irector of CPM, will remain with the business and will join'‹ '‹Marshalls’ senior management team, reporting to M'‹r Coffey.