FOS Capital (ASX:FOS) has completed the acquisition of Sydney-based linear lighting manufacturer KLIK Systems, as previously announced to the ASX on 25 September 2023.
This acquisition expands the $9.41 million market capitalisation company’s market share in linear lighting and provides a platform to consolidate its manufacturing operations for its ‘fastest-growing’ product pipeline.
FOS purchased KLIK for $3 million, with $1 million cash still to be paid to KLIK 12 months from the completion date of the acquisition.
The company notes that the acquisition will give it ‘significant’ operational benefits, with the increased volumes and the ability to further rationalise fixed costs.
KLIK also provides FOS with its first ‘substantial’ export market outside of New Zealand, with the ability to increase export sales of the company’s broader product range.
KLIK was established over 40 years ago and manufactures an extensive range of commercial, industrial, and architectural LED linear and handrail lighting. The company has 30 employees and services the Australian commercial lighting market with sales offices and distributors in all capital cities.
FOS Capital is an ASX-listed private investor hub dedicated to identifying and supporting opportunities across a range of industries.
Images: FOS Capital