October 29th, 2010
WIRELESS Communications firm Filtronic has described plans to buy Isotek as a "transformational" deal for the two firms.
The deal will see Saltaire-based Filtronic pay £4.35m in cash in addition to 18.55m new shares.
Filtronic originally announced a proposed offer for Leeds-based Isotek in July and has now published its formal offer document.
The deal is expected to increase turnover in the year to May 2012 by around £15m and contribute to earnings in the same period.
Chairman Howard Ford said "This is a transformational deal for both companies which will be attractive to all stakeholders."
Filtronic said the acquistion of Isotek, which makes filters used in mobile phone base stations, was in line with its strategy to create a "differentiated, high growth, wireless telecoms business" and would help it new global markets.
The company believes it will be able to take advantage of a merger of Filtronic's resources and operational expertise with Isotek's intellectual property and products.
Source: Business Desk