ACM Shipping to acquire Harris & Dixon

Source: Supply Chain Digital

Date :24/06/2008 09:27:51

Leading international tanker broker ACM Shipping Group plc said Monday, 23 June, that it has entered into an agreement to acquire the shipbroking business of oil transportation broker Harris & Dixon for £2.5million.

In a statement, ACM said the acquisition London based Harris & Dixon will be funded from the Group's existing cash resources and a credit agreement with ACM's bankers.

For the year to 31 December 2007, on an unaudited basis, Harris & Dixon had revenue of £2.1million and made a profit before interest of £0.8million, before paying out staff and director bonuses, ACM said.

Strategic step

Johnny Plumbe, Chief Executive of ACM, said that the acquisition is an "excellent strategic step for ACM” as Harris & Dixon specialises in the one area of tanker broking that ACM is not currently involved in.

Furthermore the deal will quickly become earnings -enhancing.

“(Harris & Dixon)…bring with them a solid forward book and the combined customer bases will provide further exciting trading opportunities for the Group,” he said.

Meanwhile, ACM announced a 49 percent surge in 2007 pre-tax profit on Monday. Profit rose to £5.5million for the year to 31 March while revenue rose to £19.6million from £13.5million a year earlier.