Smiths News arm buys books company Erasmus

UK newspaper and magazine wholesaler Smiths News said on Monday its business Bertram Books acquired Erasmus Antiquariaat en Boekhandel.

Bertram has purchased the company from Tschenett Beheer for €1.5m in cash via subsidiary Dawson Books. Erasmus is a Netherlands-based supplier of books and journals to academic libraries and government institutions across Northern Europe.

Erasmus generated revenues of €15m in the year to December 31st, and Bertram expects to gain on its success with incremental £0.4m earnings in 2014.

The transaction will expand Bertram's existing customer base in Europe and will provide entry into the US market.

The group projected an increase of total international sales to £50m on a pro forma basis.

Mark Cashmore, Chief Executive Officer of Smiths News, said: "We are delighted to have completed another strategic bolt-on acquisition, which is an excellent addition to our books business.

"Erasmus extends our Northern European academic business and accelerates our expansion plans. The group will benefit from an increase in scale and a stronger sales presence in Northern Europe."

Shares in Smiths, which also supplies books and products to the education market, rose 1.91% to 163.06p at 8:50 Monday.

RD