DCC plc announces that DCC LPG has reached agreement with Linde AG ("Linde") to acquire Tega-Technische Gase und Gasetechnik GmbH, its LPG and refrigerant gas distribution business in Germany ("TEGA" or "the business").
The transaction is expected to complete before the end of DCC's financial year ending 31 March 2018, following receipt of customary regulatory consents.
TEGA, headquartered in Würzburg, employs approximately 100 people across five operating sites, largely in southern Germany. Tega has revenue of c. €75 million evenly split between LPG and refrigerants. The business supplies c. 35,000 tonnes of LPG annually to c. 15,000 domestic and commercial customers. It also supplies refrigerant gases to wholesalers and end-users for use in air-conditioning, commercial cooling systems and refrigerators. The business has operated on a standalone basis within The Linde Group and will continue to be led, post-completion, by its existing, highly experienced management team.
The consideration for the transaction will be payable in cash on completion. Following the completion of the acquisition of TEGA and based on acquisition activity to date, DCC will have spent approximately £630 million on acquisitions in the financial year ending 31 March 2018.
