16 August 2010 – Acquisition
Straight jhas announced that it has acquired Dyro Holdings Limited, its leading injection moulding partner, for £2.9m in cash. Dyro has been a supplier to Straight for many years and trading between the two companies has increased considerably over recent months thanks to Straight’s acquisition of certain assets of Helesi earlier this year. This vertical integration move by Straight will strengthen the group’s position in its core markets and provide a platform for future development and the cash consideration is payable in three equal instalments over the next two years. This is a sensible move by the company and the shares remain a BUY.