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AML to be able to benefit from TenCate's technology synergies

03
Feb '10
Royal Ten Cate has agreed to acquire the armour company AML UK Ltd. based in Swindon, United Kingdom. This acquisition will provide TenCate with full access to the UK market for lightweight composite armour solutions. AML has annual sales of approximately £ 10 million. The share purchase agreement is expected to be concluded this month.

This acquisition is an important step for TenCate in the zormation of a Pan-European armouring organization. Together with TenCate Aerospace Composites and TenCate Advanced Armour in the USA, the organization offers an extensive portfolio of technologies and solutions to the global market place.

AML UK is a leading company in the armour market in the United Kingdom, the second largest market worldwide. The company is largely engaged in the design and production of vehicle armour materials. Furthermore it provides a range of products for the security market.

TenCate Advanced Armour designs and manufactures armour for vehicles (including aircraft and naval protection) for the UK Ministry of Defence and associated contractors. TenCate wishes to expand its position within this market – especially in the field of vehicle, aircraft and naval armour products – where major modernization and expansion programmes are planned for the future.

Frank Meurs, director TenCate Advanced Armour EMEA: 'AML has an excellent reputation as a developer of revolutionary concepts and as an engineering partner for the prototyping and design of production processes. As a result of this, AML has become an important partner of the UK Government and its associated vehicle manufacturers and contractors. AML's complementary activities will support our existing business. TenCate will be able to contribute much to the further growth of the already well positioned AML activities'.

James Purves, managing director of AML UK: 'In order to participate in large tenders in connection with future army modernization programmes a combination with TenCate forms a crucial step in the further development of the AML organization. AML will be able to benefit from TenCate's production and technology synergies. In the past we have joined forces successfully on a project basis. This transaction is the result of this successful partnership and has the ability to grow the company even faster. For our employees this exciting move means that they will now be part of a global growing listed enterprise'.

Synergy in lightweight composite armour solutions
The addition of AML to the European activities of TenCate Advanced Armour will create a broader geographical presence, especially in one of the largest markets worldwide. The combination of the two companies' technologies, capabilities, purchasing power and market positions will present a major opportunity to achieve strong synergistic effects. This strategic step increases the relative importance of composites within the total materials portfolio of TenCate.

The TenCate Advanced Armour group will continue to operate on the same basis in the UK market, offering a full scale service in the range of survivability solutions with the best value for money. TenCate will collaborate in any way possible with other UK suppliers and will actively pursue research and development programmes with third parties, such as the government, universities and industrial partners.

Royal Ten Cate


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