SDI Group has acquired microLED manufacturer, PRP Optoelectronics, for a net consideration of £9.3m.

PRP also provides LED light engines and monolithic LEDs for a range of applications within the avionics, defence and industrial sectors.

SDI said that the acquisition extends its footprint in the aerospace and defence sector, including a stable blue-chip customer base and revenues primarily linked to overseas end markets.

As a result, it will now be delivering components into programmes including Eurofighter, Typhoon, F-16 and F-22 Raptor.

The deal comprises a cash consideration of £11.3m, including £2.8m of acquired net cash.

In the year to 31 December, PRP delivered £6m in revenue and earnings of £1.5m.

Chief executive officer at SDI, Stephen Brown, stated: "The acquisition of PRP is a significant milestone for SDI, marking our entry into the avionics markets. The business boasts a range of products in a very particular niche, which have applications across multiple sectors, including in aviation and on platforms, including the General Dynamics F-16 and Airbus A320 among others.

"PRP is a profitable business, with strong revenue visibility and an international customer base which meets our key acquisition criteria. We're enormously excited to welcome the PRP team into the Group and looking forward to working with them as they execute on their new business pipeline, and as we continue to drive the Group forward with our organic and inorganic growth strategies."

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