Essentra to acquire a 73% stake in Hengzhu for $15m.

Essentra, a provider of essential components and solutions, agreed to acquire a 73% stake in Hengzhu, an access hardware manufacturer and distributor in China, for $15m. "This transaction strengthens our position in China, enabling us to expand our access hardware range. Hengzhu has excellent growth prospects and is a strong fit for the Components division. We have proven strong cross selling opportunities for this product range in Europe and Hengzhu provides us with the ideal platform to further penetrate Asia. There is also scope to leverage our operations expertise to increase the efficiency of the business. This transaction is earnings accretive and will deliver sustainable value to Essentra over the long-term," Paul Forman, Essentra CEO.