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06/2021

TIGER FILTRATION acquired by XEBEC

UNITED KINGDOM Industrial Equipment / Components / Valves, Pumps & Taps EV 10M - 30M CAD

Context

The acquisition of Tiger Filtration by Xebec Adsorption Inc. is a strategic move to leverage the target company's recurring aftermarket business for elements and filters, as well as its research and development capabilities to expand Xebec's product portfolio to include filtration products for hydrogen and renewable natural gas. The deal provides Xebec with a unique opportunity to vertically integrate into the valuable aftermarket business for filters and elements, which is expected to be immediately accretive and bring Tiger Filtration's products to Xebec's service subsidiaries. The acquisition positions Xebec well as it looks to transition from being predominantly an equipment supplier to a support and service-oriented organization with recurring revenue streams for renewable and low carbon gases. The deal is expected to provide cost savings by displacing parts currently bought by Xebec's existing subsidiaries and will enable the company to increase revenues by leveraging its sales and distribution networks. The acquisition is a key step in Xebec's strategy to become a leading provider of clean energy solutions and is expected to drive growth and profitability for the company in the long term.

TIGER FILTRATION, which reported an EBITDA margin of LOGIN in 2020, is valued in this transaction at an EV/EBITDA multiple of LOGIN, representing a LOGIN to the average currently observed in the Industry & Manufacturing sector (11.6x).

Note that this data is based on contribution from our growing community, composed of M&A and Private Equity professionals, and has been verified by our team to ensure its accuracy.

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Target

Tiger Filtration is a British-based company that specializes in the manufacturing of high-quality alternative in-line filter elements, vacuum pump separators, compressor air and oil separators, high-pressure stainless-steel filter housings, and bespoke filtration solutions. Established in 2004 by former Walker Filtration employees, the company has gained worldwide recognition for providing high-quality alternatives for the compressed air and gas industry. With a 14,000 sq ft facility in Sunderland, UK, Tiger Filtration supplies its products globally to customers ranging from small businesses to international organizations who expect quality products and an exceptional level of service. The company's products are designed to meet the needs of various industries, including compressed air and gas, and its commitment to quality and customer service has earned it a reputation as a trusted supplier in the industry.

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Historical Financials (CAD)

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REFERENCES

Valuation range: EV 10M - 30M CAD

Revenue range: 0M - 5M CAD

EBITDA range: 0M - 5M CAD

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Authors: verified mynth contributor (mynth data is contributed by M&A / PE professionals and systematically cross-verified with private deal documents and official press releases).

Target: tiger filtration