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IMI To Buy Speciality Valve Manufacturer PBM For $85 Mln; Stock Up

Shares of IMI plc (IMI.L) were gaining around 2 percent in the early morning trading in London after the specialist engineering company Tuesday announced the proposed acquisition of PBM Inc. for an enterprise value of $85 million or 70.3 million pounds.

The deal will be closed within the next two months, subject to normal merger filings. The company noted that PBM will be both margin and earnings accretive.

Following the acquisition, PBM will become part of IMI's Critical Engineering division.

Pennsylvania, USA -based PBM is a manufacturer of high-quality industrial valves and flow control products. In the year 2018, PBM generated revenues of $35.6 million, adjusted EBITDA of $6.8 million and adjusted EBIT of $6.3 million.

The company is owned by the senior management team who will remain with the business post-acquisition, apart from the retiring Chairman.

In London, IMI shares were trading at 952.20 pence, up 1.93 percent.

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