Ansell buys Korean glove-maker for $US41m

Ansell Ltd, the maker of condoms and surgical gloves, has bought South Korean industrial glove-maker Midas Ltd for $US41.1 million ($A43.5 million), including debt. Eight years ago, Midas was chosen by Ansell to become a supplier.

Midas, a closely held company founded in 1998, now has annual revenue of about $US30 million and 300 employees. It makes knitted and cut-resistant gloves with polyurethane coatings and yarn wrapping in factories in South Korea and Vietnam.

Ansell’s acquisition is expected to be earnings-per-share neutral in its 2014 financial year. The purchase price included $US6.1 million of debt. The transaction will close later this year.

“The acquisition represents another step designed to drive Ansell forward, fulfilling our growth strategy of accelerating innovation, developing our manufacturing and sourcing capabilities,” Ansell chief executive Magnus Nicolin said in a statement.