Midwich eyes continued expansion with Earpro acquisition29 March 2017
Midwich has announced it has entered into a binding agreement to acquire a majority stake in Earpro S.A., a distributor of audio, video and lighting solutions in Spain and Portugal.
The acquisition values the equity of Earpro at approximately €11m, including a net cash balance of approximately €3.2m. Managing director, Miguel Mezquita retains a stake in the business and will continue to lead the business as part of the Midwich Group.
Earpro has a notable heritage in the solution driven professional audio market where the business operates with mid to high end, specialist brands. The company distributes key audio vendors including Shure and a range of Harman brands.
The Earpro business, headquartered in Barcelona enables the entry of the Midwich Group into the Spanish and Portuguese markets, territories the Group has identified as important in its international expansion. The acquisition is further delivery of the Group’s strategy, stated at IPO to grow operations through a combination of organic development and selective acquisitions.
Stephen Fenby, MD, Midwich Group commented: “I am delighted to welcome Miguel, and the rest of the Earpro team to the Midwich Group. Spain and Portugal are markets we’ve identified as significant to the Group’s international growth ambitions. The addition of this territory to the Group’s portfolio increases Midwich’s geographical coverage, with the Group operating in territories, which account for approximately 60% of the European audio visual market. We will look to continue strengthening the company’s position in the professional audio market, and support the business to build its lighting and video technology divisions.”
Miguel Mezquita, MD, Earpro added: “From the outset of our conversations with the Midwich Group, the cultural and operational synergies of our two businesses were evident. This new partnership will enable us to continue our business’s development in the professional audio, video and lighting technology markets with the support and backing of an experienced international audio visual specialist.”
Tom Sumner, Midwich European director, said: “The Midwich Group has experience of international acquisition in Europe and Australasia where our approach has been to address these markets through strong local teams. We will continue this with Earpro, providing support where we can. We are excited to work with the Earpro team, and will look to maximise the business synergies across the Group’s organisations. Our primary focus will remain on continuing to enhance the support and service we provide customers and vendor partners.”