Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Cadmus Consolidates Manufacturing

Cadmus Consolidates Manufacturing

Payment solutions company, Cadmus Technology Limited (NZX: CTL) is to buy the remaining shares it does not own in JV manufacturing company Production Manufacturing Ltd for $25,000 cash and the issue of 3,017,778 Cadmus ordinary shares.

Production Manufacturing Limited was formed in 2003 and provides manufacturing services solely for Cadmus.

The move enables Cadmus to gain total control over its present manufacturing requirements as well as ongoing improvement and management of production costs and scheduling.

This acquisition provides the platform for Cadmus to expand its production to meet an expected increase in demand over the next 12 - 36 months as the requirement for EMV compliant terminals become mandatory. The deal will also enable Cadmus to obtain further potential cost savings in using larger international contract manufacturers when required.

Cadmus Managing Director Ian Bailey says the agreement to purchase is conditional on completion of due diligence by Cadmus.

“This transaction complements our focus on taking more control of end to end product design, development, production and delivery in a vertical integration of the business functions. We are expecting an increase in volume with the changeover to DES 3 and EMV compliant terminals and bringing production into line will provide us with control needed to meet the expected demand.”

The company continues to work on a number of international opportunities and appropriate acquisitions. Further announcements will be made as these are finalised.

© Scoop Media

Business Headlines | Sci-Tech Headlines


Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>


Half A Billion Accounts: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>


Half Full: Fonterra Raises Forecast Payout As Global Supply Shrinks

Fonterra Cooperative Group, the dairy processor which will announce annual earnings tomorrow, hiked its forecast payout to farmers by 50 cents per kilogram of milk solids as global supply continues to decline, helping prop up dairy prices. More>>



Meat Trade: Silver Fern Farms Gets Green Light For Shanghai Maling Deal

The government has given the green light for China's Shanghai Maling Aquarius to acquire half of Silver Fern Farms, New Zealand's biggest meat company, with ministers satisfied it will deliver "substantial and identifiable benefit". More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news