Poly Glorious to buy MayAir for £50.4m in cash

AIM-listed MayAir, a manufacturer, developer and provider of air filtration equipment and clean air solutions, has agreed to be bought by Poly Glorious for 120p per share in cash, valuing the group at around £50.4m.

Poly Glorious is a newly incorporated company formed at the direction of T&U Investment for the purpose of implementing the acquisition.

The offer price, which will be funded through the existing cash balances of Poly Glorious, represents a premium of approximately 25% to the closing MayAir share price on Thursday and a premium of 44.6% to closing price on 16 November, which was the last business day before Poly’s approach to the MayAir directors.

Jiang Li, sole director of Poly Glorious, said: “The acquisition of MayAir is expected to be highly additive to the wider Poly Glorious group. We already have significant expertise in the HVAC industry within China and through acquiring MayAir this will enable us to further strengthen the overall competitiveness in our existing product offering as well as our market presence in the air purification industry.”

Also on Friday, MayAir put out a statement updating the market on its performance.

The company said that since the end of June last year, it has continued to trade in line with management's expectations.

"In Q4 2017, MayAir successfully opened its new manufacturing facility in Nanjing, China and this is expected to provide MayAir an increase in the scale of its production over time as well as providing increased facilities for research and new product development."

At 1020 GMT, the shares were up 22% to 117.10p.