SDI Group Enters Electric Boiler Market with Smart Acquisition of Cavendish

Boiler

UK: SDI Group is advancing confidently in the specialist industrial equipment sector, with its recent acquisition of Collins Walker set to strengthen its presence in the rapidly expanding electric boiler market. David Buxton, Director of Research at Cavendish, views the acquisition as a strategic and value-accretive move that further enhances SDI’s already solid portfolio.

The £1.85 million (US$ 2.3 million) transaction brings into the fold a small but profitable manufacturer of custom electric boilers. Targeting high-growth, energy-intensive sectors such as healthcare, brewing, and industrial processing, Collins Walker’s offerings align well with the increasing demand for low-emission technologies driven by net-zero commitments.

What adds to the appeal of this acquisition is its financial sensibility. According to Cavendish, the deal was struck at approximately 5.9 times of EBIT, significantly below SDI’s historical average of 6.4 times, underscoring a disciplined and value-focused investment approach.

Source: SDI Group