Fenner adds a third to its portfolio

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ENGINEER Fenner yesterday announced its third acquisition in a week, buying a Scandinavian hose firm.

The deal follows the Hessle, East Yorkshire-based conveyor belting giant’s purchase of a US plastics firm and a Norwegian seals business.

Fenner did not say how much it is paying for Mandals, a privately-owned group of companies based in Norway and Sweden.

Mandals is a leading maker of lay flat and speciality hoses, as well as circular looms used to make hose fabric. Its products are used in markets including farming, infrastructure, drinking water and oil and gas.

It has assets of 91.3m Norwegian Krone (£9.9m) and will join Fenner’s advanced engineered products arm.

Fenner chief executive Nick Hobson said: “Mandals is a leader in an area of reinforced polymer technology which complements our existing operations, particularly James Dawson.

“In addition, the end markets served by Mandals enjoy attractive, long term growth characteristics which will support Fenner’s strategic growth objectives.”

In recent days Fenner has announced the purchase of Florida’s American Industrial Plastics (AIP) and oil and gas components firm Norwegian Seals.

All three deals are expected to complete in early September.

Fenner refinanced a £100m banking line in May to continue its “accelerating organic and acquisitive growth plans”.

FinnCap analyst David Buxton reiterated a ‘buy’ stance and said: “The shares remain attractively valued trading on a price to earnings ratio of just 10 times for 2013.”