Wielton takes over one of the main British trailer manufacturers – Lawrence David. A Polish manufacturer of semi-trailers and truck bodies has concluded loan agreements with two banks for this purpose. Money from loans will be used to buy shares of a British company.
The Lawrence David group manufactures curtain, box, and platform trailers as well as commercial vehicle bodies. Annually, the British manufacturer sells about 3.5 thousand pieces of semi-trailers and trailers. In the business year 2017/2018, the company had sales of around 74 million pounds, of which net profit was about 3.5 million pounds.
The acquisition transaction was divided into two stages. On October 1, Wielton will take over 75 percent of Lawrence David shares for 26 million pounds. The Polish company will pay for the rest of the shares in 2022 and their price will depend on the financial results of the British company.
Banks will lend to Wielton a total of 15 million euros, which will be allocated to part of the costs related to the acquisition of 75 percent shares of Lawrence David.
The takeover of a producer from Great Britain is part of Wielton’s strategy for 2017-2020. Last year, the Poles finalized the purchase of the German company Lagendorf, which produces trailers and semi-trailers. Two years earlier, they took over the Freuhauf semi-trailer factory in France.
After completing the transaction, Wielton intends to continue its the operations of Lawrence David with the support of the current management of the company from the UK.
Photo: Lawrence David