TI Group plans to buy the remaining 70% of marine propulsion systems company Lips in a £96m deal.
Netherlands-based Lips, already 30% owned by the TIGroup, will be integrated into TI’s John Crane marine business, resulting in a group which will specialise in advanced marine hull seals and bearings products and marine propulsion systems.
Lips, which has 650 staff, made pre-tax profits of £6m on sales of £67m last year. Net assets were worth £22m.
TI said the acquisition would enhance earnings in the first year and would help it to develop new business.
The move on Lips brings to almost £700m TI’s total spending on acquisitions this year. The group said it has a further £400m to spend on suitable deals.
The Lips deal follows last month’s £267m purchase of aircraft engineer EIS and the £210m acquisition of US-based S&H Fabricating and Engineering.