Beta Distribution pulls out of Entatech acquisition deal after due diligence glitch

Beta Distribution MD Steve Soper has confirmed that a deal to acquire Entatech has been called off. He revealed that Beta had been in detailed talks with Entatech and its advisors about acquiring certain assets of the company. "Although we have been in discussions for some time, information obtained during detailed due diligence meant we were unable to continue," stated Soper.

"It is disappointing because this is an industry sector that we are extremely interested in and are looking to develop."

Although not known as a company with an acquisition strategy Soper says that the business is 'always on the lookout for opportunities to grow the Beta name' and has pursued a number of opportunities in the past.

"We have been just as active as our competitors in looking for acquisition opportunities, but so far nothing has materialised," he added.

"We have a five year plan that is based around organic growth, but if the right opportunity came along to increase that growth by acquisition then we would consider it very seriously, as we have done with Entatech."

With annual revenues now approaching £200m and year-on-year double digit growth Beta has the infrastructure and financial capacity to support the right acquisition, believes Soper.

"We will look to buy a company that can contribute to our business that may have expertise that we currently don't have," he said.

"Entatech fitted the bill, with experienced people, important supplier relationships and a well established customer base, but in the end it wasn't to be."

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