Vivid Industrial Completes Acquisition of Ilum-A-Lite

HC is asleep at the wheel today, so let me provide anyone who is interested with a link to today's ASX announcement from GER related to the completion of Vivid Industrial's acquisition of Ilum-A-Lite.

http://www.asx.com.au/asxpdf/20160418/pdf/436l1ljw7vvvk9.pdf

Some of the main points which reflect well on GER going forward are as follows:

* Acquisition expected to make positive EBIT contribution to combined group's FY16 results.
* Consideration (anticipated to be in the order of $3m) will be based on FY16 EBIT, and comprise a combination of cash and new Greenearth shares at 8 cents per share.
* Ilum-A-Lite currently well into delivering on its $5 million project order book.
* Co-founder and CEO to continue in current role, with 24 month escrow on his equity component of consideration.
* Transaction increases Vivid Industrial's client base and diversifies revenue base.
* Provides immediate Sydney operating footprint.

Mark Rutherford, co-founder of Ilum-A-Lite who will be continuing in his role of CEO, said: 'We are pleased to be part of the Vivid Industrial group and look forward to working with them to deliver what is a unique and compelling offering. The synergies and benefits for both Ilum-A-Lite and Vivid Industrial are clear, and the combined group is firmly placed to strongly grow our share of the rapidly growing energy and lighting efficiency segment. My confidence in the combined group's prospects is clearly evidenced by all vendors taking the majority of consideration in GER shares.'

You can say the last sentence again. With a current share price of 4.8c and the co-founder of Ilum-A-Lite picking up shares in GER at 8c a share it's a huge vote of confidence going forward.

Sam Marks, Managing Director of Greenearth added: 'The addition of Ilum-A-Lite to Vivid Industrial significantly strengthens our product and service offering, enabling our participation in the very large commercial and government segments alongside our growing large scale and multi-site industrial business. We are also excited by the opportunities provided to our existing business with our new operating footprint in the large NSW market. I look forward to working closely with Mark and his team to deliver profitable and innovative lighting and energy solutions to our growing list of clients in Australia and overseas.'

GER continues to trade well and truly under the radar at 4.8c a share.  Sooner or later the market will wake up and smell the coffee!!