Building materials group Kingspan is to buy US flooring maker Tate Global Corporation for up to $120m.
The Cavan-based company is to pay $100m in cash and up to $20m in debt to be funded from its own resources and bank facilities.
Tate has two manufacturing facilities in Maryland and Pennsylvania and a smaller UK facility. It makes raised access flooring products and had profits of $11m on sales of $109m in the year to May 2000.
Kingspan says the Tate business complements its existing raised access flooring business operated by its subsidiary Hewetson. It says there is a significant market for Tate's products in the server farms being constructed by major technology corporations.
