22 March 2018 – acquisition

The polymer technology group has increased its exposure to the US market with the acquisition of Gloves Inc for initial consideration of $800,ooo with up to another $300,000 payable depending on certain growth targets being achieved.  Gloves provides cleaning and repair services to the personal protection equipment (PPE) used by firefighters from facilities in Atlanta and Miami.  The Xeros cleaning solution which will be deployed at Gloves’ facilities is highly effective at removing harmful contaminants whilst it will also extend the life of these expensive garments.  With 1.1m firefighters in the US the annual value of the firefighter PPE cleaning market is estimated at $330.  Xeros is looking to gain national coverage in the US by operating specialist cleaning facilities serving the major US metropolitan areas.  This is a good move by the company and recent share price weakness means the shares are a BUY.