Papillon’s primary objective is to acquire a company or asset within the industrial and services sectors, with a view to implementing an operational improvement strategy that will generate significant value for its shareholders.
The Company has already identified that there are many opportunities to acquire businesses in the industrial and services sectors as well as numerous sub-sectors. The Company may seek to acquire a number of businesses within these including, suppliers to energy companies, alternative energies, green energies, waste to energy and other merging and advanced technologies in connection therewith.
The Board will consider the following criteria in assessing the viability of potential acquisition targets:
- Be profitable or have the potential to become profitable
- Have assets
- Exhibit strong cash flow
- Have deferred consideration or earn out may be available
- Have existing management that will stay on during the acquisition process
While the Company does not currently have any acquisitions under formal consideration, it expects that it will target those in the range of £1-£10 million. Subsequent to its initial acquisition, the Company may explore the potential for further acquisitions within related industries in order to provide finance and operational leverage.