Edison Investment Research - XP Power (XPP) XP Power - German high-voltage acquisitions

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Edison Investment Research

Richard Williamson

XP Power - German high-voltage acquisitions

XP Power has acquired two German companies specialising in high-voltage power solutions from a single vendor for cash of €39m/£32.8m, funded by existing debt facilities. The deal extends XP’s product range and strengthens its position in Europe. With higher combined operating margins than XP, the company expects the deal to be earnings enhancing this year. We have upgraded our FY22 diluted normalised EPS forecast by 1.7% and introduce FY23 forecasts for 12.3% EPS growth.

01/02/2022 1 EN

Underlying

XP Power

XP Power is engaged in the design and manufacture of electronic power converters, which is required to convert the power output from the mains wall socket to the usable power that allows the equipment to function. Co. supplies these products to the healthcare, industrial and technology industries.

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SG9999003735 London Stock Exchange Singapore

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Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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Analysts

Richard Williamson

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XP Power - German high-voltage acquisitions

XP Power - Expecting better market conditions in 2024

XP Power - Fully funded for medium-term growth

XP Power - Solid H123, outlook for FY23 maintained

Nabaltec - Resilience and margin expansion

The Platform Group - Significant acceleration in growth in Q324

Theon International - Clear vision for growth

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