Marshalls has purchased pre-cast concrete manufacturer CPM Group for £38.3 million.

Established in 2004, CPM manufactures and sells concrete pipes, containment and inspection chambers, manhole covers, retaining walls and other bespoke industrial concrete products for the construction sector, including new housebuilding and major infrastructure projects such as Hinkley Point A, HS2 and A14 Cambridge.

The Group made a pre-tax profit of £3.6m in the financial year ended 31 December 2016, with revenue reported at £51.2m.

-- Advertisement --

As part of the deal, former Managing Director Mike Stacey will remain with the business and will join Marshalls' senior management team, reporting to Chief Executive Martyn Coffey.

Commenting on the deal, Mr Coffey said: "Marshalls' 2020 Strategy is to grow both organically and through carefully selected earnings enhancing bolt-on acquisitions with a particular focus on the identified growth areas of water management, security and mineral products.

"The acquisition of CPM represents a significant step towards achieving one of our strategic goals. CPM is a profitable business with a strong track record of quality and service, primarily targeting Public Sector and Commercial end users and the acquisition will expand Marshalls' product range into below ground drainage.

"We expect the business to trade, initially as Marshalls CPM, within the wider Marshalls Group."

(LM)