The Vitec Group plc (Vitec) is an international provider of products and services for broadcast, photographic and military, aerospace and government (MAG) markets. Vitec operates in three segments: Videocom, Imaging and Services. Videocom division specializes in the supply of equipment principally for professionals engaged in producing video content for the media industries globally, broadcast, film and live events. Its Imaging division provides photographic and videographic equipment to both professional and non-professional users. The photographic and videographic equipment consists primarily of camera supports, tripods, equipment bags, lighting supports, light emitting diodes (LED) lights and lighting accessories. Its Services division provides broadcast equipment and engineering support for the broadcast and media productions. In April 2012, it acquired the entire share capital of Camera Corps Limited. In August 2012, the Company exited its Staging business








2012 key company dates:
1 March 2012 Annual Results released
18 April 2012 Ex-dividend date for final dividend
20 April 2012 Record date for final dividend
8 May 2012 Interim Management Statement and Annual General Meeting
11 May 2012 Payment of final dividend
22 August 2012 Half Year Results released
22 August 2012 Announcement date
26 September 2012 Ex-dividend date
28 September 2012 Record date
1 October 2012 DRIP mandate deadline
26 October 2012 Interim dividend payment date

The Vitec Group plc Reports Consolidated Earnings Results for the Year First Half Ended June 30, 2012; Declares Interim Dividend Payable on October 16, 2012
Aug 22 12
Vitec Group plc reported consolidated earnings results for the year first half ended June 30, 2012. For the period, the company has posted revenue of £176.5 million against £171.8 million a year ago. Operating profit was £17.2 million against £13.3 million a year ago. Profit before tax was £15.8 million against £12.9 million a year ago. Profit for the year attributable to owners of the parent was £10.5 million or 23.5 pence per diluted share against £8.5 million or 19.2 pence per diluted share a year ago. Net cash from operating activities was £5.5 million against £5 million a year ago. Purchase of property, plant and equipment was £7.7 million against £5 million a year ago. Capitalisation of software and development costs £0.9 million against £1.7 million a year ago. Net debt was £70 million as at June 30, 2012 against £28.1 million as at June 30, 2011. Adjusted earnings per share were £27 pence as compared to £23.6 pence for the same period prior year. The board has declared a 6.3% increase in the interim dividend to 8.5 pence per share, which equates to a dividend cover of 3.2 times on adjusted EPS. The dividend will be paid on 26 October 2012 to shareholders on the register at the close of business on 28 September 2012.

Held these for many years - formerly known as Vinten. Seem to have got their strategy better sorted in recent years -products always of high quality. Move into military, aerospace and government work a logical extension of their sphere of expertise - could provide a lot of work, but likely to come in irregular lumps, so not holding my breath for too much, too soon. Always DYOR

Interim Management Statement
RNS
RNS Number : 3916R
The Vitec Group PLC
19 November 2012





19 November 2012

The Vitec Group plc

Interim Management Statement





The Vitec Group plc ("Vitec" or the "Group"), the international provider of products and services for the broadcast, photographic, and MAG (military, aerospace and government) markets, announces the following Interim Management Statement covering the period from 1 July to 18 November 2012.

Overall, trading since the Half Year results has been in line with our expectations. The macroeconomic environment has become more challenging and we are controlling our costs accordingly. We are continuing to monitor our markets closely. Although our order book visibility is limited, the Board's view for the full year remains unchanged.

Within the Broadcast and Video market our core broadcast business has performed in line with our expectations. Camera Corps, acquired in April 2012, and the Services Division both benefitted from supporting the London 2012 Olympics.

The Imaging Division mainly serves the Photographic market. Independent research indicates that our Manfrotto products continue to gain market share in the US and European consumer markets. As announced on 14 August 2012, the Group has exited its Staging business.

The MAG market is served through Haigh-Farr and IMT, both of which are part of the Videocom Division. Haigh-Farr was acquired in December 2011 and is performing well. IMT continues to operate in a challenging market.

At 31 October 2012, Group net debt was £70.7 million, after the payment of the interim dividend of £3.7 million and a cash outflow of £2.1 million relating to the exit from the Staging business. This compares to net debt of £70.0 million at 30 June 2012.



Vitec will release its full year results announcement on 28 February 2013.

A couple of big buys and a number of smaller ones given a boost today - delayed reaction to a reasonably upbeat IMS?

The naked trader on proacive investors -

The Vitec Group's (LON:VTC) report showed the recent weakness hasn't been justified and I think they will improve again from here.

Thanks dc. All quiet again today and it may stay that way until results time!

Not a holder as stated above. A sharp decline in the past month or so from £7.40 represents a change to buy in to broadcaster equiptment specialist VITEC (VTC).
The firm trades on forward price/earnings (PE) multiples of 11.7 for this year and 11.2 for next, according to broker concensus. The £227 million cap is poised to move higher as the swich into high definition proceeds apace,while its Manfrotto Powerband camera range continues to gain market share.

Vitec seems to be making a pivot point on high volume today, anyone follow this share in detail and have any constructive thoughts?

Vitec Group: Investec moves target price from 700p to 740p and retains a buy recommendation.

Interim Management Statement

RNS


RNS Number : 7194E

The Vitec Group PLC

15 May 2013










15 May 2013



The Vitec Group plc

Interim Management Statement





The Vitec Group plc ("Vitec" or the "Group"), the international provider of products and services for the broadcast, photographic, and MAG (military, aerospace and government) markets, announces the following Interim Management Statement for the period from 1 January to 14 May 2013.

Overall, trading in the first four months of the year has been in line with our expectations. The macroeconomic environment remains challenging and we continue to control our costs accordingly. The streamlining of certain of our operations, outlined in our 2012 full year results announcement, is progressing in line with our plans. Although our order book visibility is limited, the Board's expectations for the full year remain unchanged.

Within the Videocom Division, the Broadcast and Video business performed satisfactorily in what continues to be a challenging market. The Division's MAG results have benefited from the downsizing actions completed in the period and from orders received.

The Imaging Division made good progress in what also continues to be a challenging market, with our Manfrotto products continuing to gain market share.



The Services Division traded in line with our expectations.



At 30 April 2013, Group net debt was £66.0 million, compared to net debt of £63.7 million at 31 December 2012.

Recovering from a steady 3 if not near 4 month fall,

Vitec Group: Investec takes target price from 810p to 870p and stays with its buy recommendation.

Ex-Dividend

25 Sep 13 Vitec Group (The) PLC [VTC] (8.9 p)

Final Results

http://www.moneyam.com/action/news/showArticle?id=4762121

Half Yearly Report

Key Points




●

Half year results in line with the Board's expectations


●

Good performance considering challenging markets and currency headwinds


●

Revenue 3.8% higher and operating profit* up 6.3% at constant exchange rates


●

Operating margin* maintained on lower revenue


●

Continued market outperformance in Photographic business


●

Decision to focus Videocom on core broadcast activities and exit IMT


●

Interim dividend increased 4.5% to 9.3 pence per share




http://www.moneyam.com/action/news/showArticle?id=4868314

Director/PDMR Shareholding

RNS


RNS Number : 4383P

The Vitec Group PLC

18 August 2014








18 August 2014



THE VITEC GROUP PLC





Notification of Transactions of Directors and Persons Discharging Managerial Responsibility (PDMRs)





Purchase of shares by Stephen Bird



The Vitec Group plc ("the Company") announces the following purchase of shares that were completed on 18 August 2014.



Mr Stephen Bird, Group Chief Executive, purchased 10,000 ordinary shares of 20 pence each at £5.65 per share. These shares will be held beneficially by Mr Bird in his SIPP.



Mr Bird now holds 240,054 ordinary shares, of which 67,228 shares have been purchased in the market using funds supplied by Mr Bird and are held by Computershare Trustees (Jersey) Limited, the Trustee used to hold shares in respect of awards made under The Vitec Group 2005 Deferred Bonus Plan.

Acquisition
RNS
RNS Number : 5915T
The Vitec Group PLC
07 October 2014



NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO THE SAME WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.







7 October 2014



The Vitec Group plc







Completion of the acquisition of autocue group limited



The Vitec Group plc, the international provider of products and services for the Broadcast & Video, Photographic, and MAG markets, announces that it has yesterday completed the acquisition of Autocue Group Limited previously mentioned in our Interim Management Statement of 8 May 2014, following the Competition and Markets Authority's decision not to refer the acquisition to a Phase Two Review under the provisions of the Enterprise Act 2002.





Jon Bolton

Group Company Secretary

Interim Management Statement

RNS


RNS Number : 7721W

The Vitec Group PLC

12 November 2014






12 November 2014

The Vitec Group plc

Interim Management Statement





The Vitec Group plc ("Vitec" or the "Group"), the international provider of products and services for Broadcast & Video and Photographic markets, announces the following Interim Management Statement for the period from 1 July 2014 to 11 November 2014. The comments on trading relate to the period from 1 July 2014 to 31 October 2014.

The Group's trading since the Half Year results has been in line with our forecast and we remain on track to meet the Board's expectations for the Full Year.

The Videocom Division performed well in continued variable markets, reflecting the timing of major contracts, a strong performance by Teradek but weakness in European and Middle Eastern markets. We are making good progress with the integration of Autocue Group Limited following completion of its acquisition in October 2014. In early November, we exited from the loss-making IMT business through the sale of its assets (see note 3).

The Imaging Division performed in line with our expectations in what remains a difficult photographic market. It continues to make good progress through the launch of new products which received positive feedback at Photokina, the international photography exhibition in Cologne.

The Services Division traded in line with our expectations.



At 31 October 2014, Group net debt was £77.8 million, after payment of the interim dividend of £4.1 million and net cash outflow of £6.1 million relating to the Autocue acquisition. This compares to net debt of £68.0 million at 30 June 2014. The Group has made six successful acquisitions in the last four years and continues to review further value adding additions to the Group's activities.

Vitec is scheduled to release its full year results announcement on 25 February 2015.

Key Points

•
Full year performance in line with the Board's expectations

•
Revenue 3.3% higher and profit before tax* up 9.1% at constant exchange rate

•
Operating margin* maintained at 12.5%

•
Significant strategic progress with three value-adding acquisitions and exit from IMT

•
Group now focused on Broadcast and Photographic Divisions

•
Well positioned to benefit from any market upturn






Finall results

Trading Update
RNS
RNS Number : 8414M
The Vitec Group PLC
12 May 2015

12 May 2015



The Vitec Group plc

Trading Update





The Vitec Group plc ("Vitec" or the "Group"), the international provider of products and services for the Broadcast and Photographic markets, announces the following trading update for the first four months of the financial year, ahead of the Annual General Meeting to be held later today.

The Group performed satisfactorily in the first four months of the year. Market conditions remain challenging although showing some signs of stabilisation. The Board remains confident about the mid-term prospects for the Group and its expectations for the full year remain unchanged.

As previously reported, Vitec's first half results will reflect the non-repeat of the significant performance at the 2014 Sochi Winter Olympics and a negative impact from foreign exchange; consequently, the first half results are expected to be lower than the same period last year. A stronger performance is anticipated in the second half of the year as the Group's markets start to recover, supported by new product sales. The foreign exchange impact principally reflects the unwinding of previous cash-flow hedges put in place as part of the Group's well-established hedging policy. If exchange rates remain at current levels, Vitec will benefit from a stronger US dollar, partially offset by a weaker Euro, from 2016 onwards.

The Broadcast Division performed broadly in line with the same period last year in variable market conditions after adjusting for foreign currency and the non-repeat of the Winter Olympics. In February 2015, Vitec acquired the business and net assets of Paralinx, a US producer of high quality wireless video systems, for a net cash consideration of up to £4.1 million ($6.3 million). This business has been successfully integrated into the Teradek wireless products business.

The Photographic Division traded in line with our expectations. The Division continues to benefit from the release of new products including its ranges of tripods and bags and the recent launch of the iPad-based Manfrotto Digital Director which has received positive feedback from customers.

At 30 April 2015, Group net debt was as expected at £86.3 million, reflecting seasonality and after £8.7 million of cash outflows relating to acquisitions as well as the impact of foreign exchange on US dollar debt, and cash spent on the previously announced restructuring. This compares to net debt of £70.9 million at 31 December 2014.

"Investing For Growth" Presentation

On 22 April 2015 the Group held a presentation for institutional investors and analysts on "Investing for Growth". Copies of the presentation slides are available on the Group's website.

The presentation reviewed how Vitec has been streamlined and strengthened over the last four years and is well placed to drive sales growth as its markets recover. The summary points were:

· Core Broadcast and Photographic markets are showing some signs of stabilising and are expected to grow in the mid-term;

· Vitec is well placed to capitalise on these markets given its strong brands, market positions and global distribution;

· There is a clear strategy focussed on improving the core business, including sales to independent content creators; expanding Vitec's presence and sales in APAC; and continuing to make value-adding acquisitions;

· Vitec has a strong platform to succeed with an improved new product development process, a greater technology focus and a stronger organisation.



Half Year Results



Vitec is scheduled to release its half year results announcement on Thursday 6 August 2015.

Half year report

09:50 05/04/2017
Broker Forecast - Peel Hunt issues a broker note on Vitec Group (The) PLC
Peel Hunt today reaffirms its buy investment rating on Vitec Group (The) PLC (LON:VTC) and raised its price target to 950p (from 850p). Story provided by StockMarketWire.com

Trading Update - Continued Progress
RNS
RNS Number : 6653E
The Vitec Group PLC
10 May 2017
 
 

 
 
10 May 2017                
The Vitec Group plc
Trading Update
 
Continued Progress
 
The Vitec Group plc ("Vitec" or the "Group"), the international provider of products and services for the Broadcast and Photographic markets, provides the following update on trading for the first four months, the disposal of Haigh-Farr, Inc. and full year outlook.
 
Current trading performance
The Board is encouraged with performance during the period from 1 January 2017 to 30 April 2017. Positive momentum has been maintained and we are performing slightly ahead of our expectations, mainly due to continued organic sales growth and a further benefit from foreign exchange.
Our higher technology broadcast businesses continued to grow, supported by a number of new product launches. The Photographic Division has started the year well and continued to outperform the market.
Disposal of Haigh-Farr, Inc.
On 9 May 2017 we sold our non-core Haigh-Farr defence antennas business based in New Hampshire, USA, to Haigh-Farr Acquisitions, Inc., which is owned by Haigh-Farr's current management, David and Norene Farr. This deal was completed for an initial cash consideration of $15.8 million (£12.2 million); there is a further potential earn-out of up to $10 million in cash depending on future performance of the business. The net cash proceeds will be used to pay down Group borrowings.
Haigh-Farr generated an operating profit of $2.1 million (£1.5 million) in 2016 on sales of $12.9 million (£9.6 million). As at 31 December 2016, net assets1 were $20.8 million (£16.8 million) and gross assets1 were $22.8 million (£18.4 million). The disposal is expected to be slightly dilutive to adjusted earnings per share for the current financial year.
This disposal allows Vitec to continue to focus on driving growth in its core, premium branded broadcast and photographic markets.
Net debt
 
Vitec's balance sheet has been further strengthened by continued strong cash generation over the first four months of the year. Net debt as at 30 April 2017 was £70.8 million (31 December 2016: £75.1 million) and this will be reduced by the net cash consideration received from the disposal of Haigh-Farr.
 
The Group will repay the $50 million private placement facility when it expires on 11 May 2017. For the remainder of 2017, it is anticipated that this will lead to a £0.7 million reduction in the Group's ongoing financing costs.
Full year outlook
Overall, the Board now expects Vitec's full year results to be slightly ahead of current market consensus. This is the result of good underlying trading, a continued tailwind from foreign currency translation and lower financing costs more than offsetting the ongoing profit impact from the sale of Haigh-Farr.
Stephen Bird, Group Chief Executive, commented:
"Our performance in the first four months demonstrates the continued progress made to transform the Group. We are outperforming our markets and our higher technology businesses continue to grow.
As a result, we are pleased to increase our outlook for the current year."

Vitec Group reveals recent acquisitions
StockMarketWire.com
The Vitec Group announced that on 22 September 2017 it acquired certain assets and liabilities, primarily comprising the JOBY and Lowepro brands, from the DayMen Group, for $10.3m (£7.6m), on a debt/cash free basis, with an expected total investment of $32m (£23.7m), including deal costs.

Vitec also announces that on 20 September 2017 it acquired RT Motion Systems for up to £3.4m in cash, including deal costs. RTMotion provides wireless motor lens control systems for broadcast, cine and video cameras.



Story provided by StockMarketWire.com

31 Oct
Peel Hunt
1,300.00
Buy

Trading Statement
RNS
RNS Number : 6325W
Vitec Group PLC (The)
16 November 2017
 
 
 
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO THE SAME WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION. THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION.
 
16 November 2017
The Vitec Group plc
Trading outlook unchanged and new reporting structure
The Vitec Group plc ("Vitec" or "the Group"), the international provider of products and solutions for the broadcast and photographic markets, announces that recent trading has been in line with its expectations. It also announces that it is transitioning its structure from reporting under two to three Divisions from 1 January 2018.
 
Trading outlook
·      Trading for the four months ended 31 October 2017 was in line with our expectations.
·      The Photographic Division performed well and the market continues to show signs of recovery.
·    In the Broadcast Division, our traditional business benefitted from sales of new products, including the Flowtech tripod, and, as expected, our US studio business has had a stronger second half to date, despite challenging market conditions.  Our higher technology business continued to grow and the integration of RTMotion is going well.
·      The Board's expectations for the year ending 31 December 2017 remain unchanged.
Portfolio refinement
The JOBY and Lowepro brands were acquired from the DayMen Group in September. The business is performing to plan and is being successfully integrated into the Photographic Division.
Recent changes in the portfolio, including the acquisitions of JOBY, Lowepro and RTMotion, and the disposals of Haigh-Farr and Vitec Broadcast Services ("Bexel"), position the Group well to deliver increased margins.
Net debt
Net debt at 31 October 2017 was £48.3 million (30 June 2017: £52.6 million) and reflects strong year-to-date cash generation and net proceeds from the disposal of Bexel in August. This was offset by £13.0 million of investment in acquisitions, and working capital related to the JOBY and Lowepro acquisition.
New three divisional reporting structure
For results from 1 January 2018, Vitec will report as three distinct Divisions - Imaging Solutions, Production Solutions and Creative Solutions - to reflect a changing customer base, and to give greater focus to the fast-growing Independent Content Creator Market. 2016 comparator information will be disclosed prior to the 2017 full year results announcement.
Full year results
Vitec is scheduled to release its full year results announcement on 22 February 2018.
-Ends

Final results

Vitec Group completes acquisition of Australia's Adeal
StockMarketWire.com
The Vitec Group said it had completed the acquisition of imaging products distributor Adeal for $5.0m (£2.8m).

The acquisition was expected to be earnings neutral in 2018 and marginally accretive in 2019, the company said.

At 9:32am: (LON:VTC) Vitec Group The PLC share price was +5p at 1170p


Story provided by StockMarketWire.com

8 May
Peel Hunt
N/A
Buy
9 Apr
Peel Hunt
1,450.00
Buy

Doing very well since the start of 2017

Half year results

Highlights
•
Record Group performance in profit before tax and EPS

- Further underlying profit growth across the portfolio

- Improvement in adjusted operating margin* to 13.9% on a reported basis

- ROCE* increased to 21.7% (H1 2017: 19.4%)
•
Continued progress in driving further growth and efficiency

- JOBY and Lowepro acquisition performing in line with expectations and gaining market share; acquisition of Adeal expanded APAC distribution into Australia

- Significant number of market-leading new products launched at end of 2017 are selling well

- Further improvements to manufacturing operations across the Group including move to new Bury St Edmunds, UK site; transfer from Shelton, US to our facility in Costa Rica on track
•
Strong Balance Sheet to support organic investment and M&A
•
Full year expectations remain unchanged, with material EPS growth

Acquisition
RNS
RNS Number : 0411B
Vitec Group PLC (The)
18 September 2018

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO THE SAME WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION. THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION.

The Vitec Group plc
18 September 2018
ACQUISITION
Vitec enters adjacent audio capture market
with the acquisition of Rycote Microphone Holdings Ltd.

The Vitec Group plc ("Vitec" or the "Group"), the international provider of products and solutions to the Broadcast and Photographic markets, announces that it has acquired Rycote Microphone Holdings Ltd. ("Rycote"), for up to £8.5 million in cash.

Based in Stroud, UK, Rycote is a highly respected, market-leading brand, trusted by creative professionals, and a manufacturer of advanced noise reduction equipment for the audio capture market. Audio capture is an integral element in the creation of high quality videos and Vitec's existing customers, whether Broadcasters, Videographers or Independent Content Creators, already buy audio products. There are opportunities across all three of Vitec's divisions to sell Rycote products in conjunction with SmallHD monitors, Teradek transmitters, Flowtech tripods, Anton/Bauer batteries, JOBY GorillaPods and Manfrotto products.

Rycote's unaudited results for the year to 30 April 2018 recorded £3.1 million revenue, with adjusted EBITDA of £0.8 million.

Rycote will become part of Vitec's Creative Solutions Division, led by Nicol Verheem. Simon Davies, Rycote's Managing Director, will remain with the company post acquisition. The acquisition is in line with Vitec's strategy to enter adjacent markets.
Under the terms of the acquisition, the initial cash consideration is £6.0 million on a debt/cash free basis, including deal costs. Up to a further £2.5 million cash consideration will be payable dependent on post-acquisition performance.
The acquisition is expected to be marginally accretive to earnings in 2019.
FY2018 Outlook
We now anticipate delivering a full year 2018 performance slightly ahead of our previous expectations, given further FX benefit and revised trading expectations for the remainder of the year ending 31 December 2018.
Stephen Bird, Group Chief Executive of Vitec, commented:
"I am delighted to welcome the Rycote team to the Group.
"Vitec operates primarily in the video production market and this acquisition opens up the opportunity for us to enter the growing audio capture market, adding innovative and complementary products for our customers, and creating additional value for our shareholders.
"Rycote has exciting product development plans that will add real value to Vitec and our customers, and we look forward to developing the business."

The Vitec Group plc Capital Markets Day
On 20 September 2018, Vitec will be hosting a Capital Markets Day at its new facility in Bury St Edmunds, the head office for Vitec's Production Solutions Division.
An overview of the strategy, performance and product development highlights of our Production Solutions and Creative Solutions Divisions will be covered.
Copies of the presentations will be made available on the Group's website after the event. No material new financial information will be disclosed.
-Ends-

Ex-Dividend
19 Apr 18 Vitec Group (The) PLC [VTC] (20.1 p)
20 Sep 18 Vitec Group (The) PLC [VTC] (11.5 p)

08:50 24/09/2018
Broker Forecast - Berenberg issues a broker note on Vitec Group (The) PLC
Berenberg today reaffirms its buy investment rating on Vitec Group (The) PLC (LON:VTC) and raised its price target to 1500p (from 1420p). Story provided by StockMarketWire.com Broker Forecasts data provided by www.sharesmagazine.co.uk

Acquisition & Trading Update
RNS
RNS Number : 8455G
Vitec Group PLC (The)
09 November 2018

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO THE SAME WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.
The Vitec Group plc
9 November 2018
ACQUISITION OF AMIMON INC. AND TRADING UPDATE
Wireless video capabilities transformed by margin enhancing acquisition of Amimon

The Vitec Group plc ("Vitec" or the "Group"), the international provider of products and solutions to the Broadcast and Photographic markets, is pleased to announce that it has acquired Amimon Inc., consisting primarily of its Israeli subsidiary Amimon Limited (together "Amimon").

It also announces that the Board's expectations for the year ending 31 December 2018 remain unchanged, with material EPS growth.

Acquisition and integration of Amimon
Vitec acquired Amimon on 8 November 2018 for $55.0 million (£42.3 million) in cash, with an expected total investment of $59.9 million (£46.1 million) on a cash / debt free basis, including employee retention, deal and integration costs. The total investment will be funded from Vitec's committed bank facilities.

Amimon designs and develops chipsets and modules for real-time wireless video transmission, primarily for professional filmmaking and high-end productions ("cine market").

Established in 2004, Amimon operates primarily from its headquarters in San Jose, California, and an R&D centre in Israel, where the majority of its 60 employees are based. Dr Zvi Reznic, Amimon's Chief Technology Officer and Co-Founder, and certain other employees, have confirmed that they will remain with the company post acquisition.

Vitec will integrate Amimon into its Creative Solutions Division. Amimon brings extensive software, chipset design and electronics hardware development expertise, and opens up growth opportunities to develop innovative new products for adjacent markets. Amimon's Israel facility will primarily become an R&D centre of excellence for Creative Solutions.

Strategic rationale for the acquisition
The acquisition is part of Vitec's strategy to develop and grow in the wireless video market and will give Vitec access to patented core technology as well as new intellectual property.

Vitec and Amimon have had a strong customer / supplier relationship since 2012, having worked together to build a new market for professional wireless video. Amimon is the key supplier to Teradek, having developed a market-leading, exclusive and patented technology which is recognised as the industry-standard for zero delay wireless video. Amimon's technology is used in many of our Creative Solutions products, enabling very high quality, zero delay video, up to 4K resolution, to be transmitted wirelessly between cameras and monitors. This connects a director and crew to the camera in a real-time, cable-free environment, and allows fast changes on set, saving time and money.

Acquiring the core technology found within many of our Creative Solutions products will enable Vitec to become vertically integrated. This will drive growth, including the cost-effective and focused development of the next generation of highly differentiated wireless video products, enabling us to bring them to market faster. The acquisition will allow Vitec to quickly expand into the adjacent on-location sports and news market, selling wireless video products to Broadcasters and Independent Content Creators under Vitec's premium brands, using our established distribution network.

Creative Solutions will also be able to strengthen its position in the cine market by capitalising on the next generation of wireless video products and get closer to camera manufacturers through Amimon's direct relationships.

Financial aspects of the acquisition
Amimon reported consolidated audited results for the year to 31 December 2017 of $18.6 million (£14.4 million) revenue and reported an operating loss of $0.7 million (£0.5 million). Gross assets were $10.5 million (£7.8 million) at 31 December 2017. For the nine months to September 2018, revenue was $13.4 million (£9.9 million) and EBITDA was $0.8 million (£0.6 million).

The financial impact of the acquisition includes:
●
Vitec is uniquely placed to access cost synergies across the Creative Solutions Division and Amimon, primarily in administration, sales and marketing and through aligning the R&D roadmaps to focus on growing markets;
●
Post-acquisition, Amimon's revenue will reduce significantly to reflect intra-Group sales;
●
Creative Solutions is expected to increase EBITDA by $4.0 million (£3.1 million) in 2019, $7.5 million (£5.8 million) in 2020 and $9.0 million (£6.9 million) in 2021 with Amimon under Vitec's ownership;
●
The return on investment is expected to exceed Group WACC from 2020 onwards;
●
Proforma 2018 year end net debt to EBITDA is expected to increase to 1.4x.
The acquisition accelerates the Group's stated objective to achieve mid-teen adjusted operating profit margins and is expected to enhance adjusted earnings per share from 2019.

The Group has increased its committed bank facilities by £25.0 million.

Stephen Bird, Group Chief Executive of Vitec, commented:
"Vitec is the natural home for Amimon and I am really delighted to welcome this talented team of engineers to the Group. They bring exclusive software and hardware expertise that will add real value to our customers and our shareholders.

"Amimon is the technology of choice for wireless equipment used in the cine market. This acquisition opens up the exciting opportunity for Vitec to drive growth by taking wireless technology into adjacent markets, developing innovative new products to give our customers greater flexibility in image capture and content creation.

"We know the business well, use their technology in our market-leading Teradek and SmallHD products, and we are uniquely placed to access cost synergies through integration with our existing capabilities. As well as accelerating the Group's stated objective to achieve mid-teen operating margins, the acquisition is expected to enhance earnings per share from 2019."

Trading update
The Board's expectations for the year ending 31 December 2018 remain unchanged, with material EPS growth combined with good cash generation.


●
In Imaging Solutions, the Joby and Lowepro brands maintained their improved market share with a more favourable product mix underpinning the investment case. The encouraging launch of new mirrorless cameras from Canon and Nikon has subdued near term demand but their full availability in 2019 will be of benefit.
●
Production Solutions continued to perform well in the US, and as anticipated, benefitted from the sales of new products, including the launch of the Flowtech 100 tripod and Litepanels Gemini lights. Overall its performance continued to be strong.
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Our higher technology Creative Solutions Division continued to grow and SmallHD will move into their new facility later this month when they expect to return to full production shortly thereafter. We expect insurance cover to continue to mitigate losses due to the previously announced SmallHD manufacturing disruption caused by a fire in an adjacent building. As previously announced, the acquisition of Rycote, the manufacturer of advanced noise reduction equipment, is proceeding to plan and has opened the opportunity for us to enter the growing audio capture market.
Full Year Results
Vitec is scheduled to release its full year results announcement on Thursday 21 February 2019.