Mpac is acquiring the entire issued share capital of Boston Conveyor & Automation, Inc., (“BCA”), a US-based supplier of robotic automation and conveyor equipment for the Food, Life Sciences and general industry sectors, for a total of US$17.0m (£12.9m). The purchase comprises US$11.0m in cash, sourced from the Group Revolving Credit Facility, plus US$6.0m from the issue of Mpac shares. The Group’s lender has agreed to increase the RCF by £5 million to £25 million, ensuring that the Group will continue to have a strong balance sheet with significant undrawn borrowing facilities available to fund its ongoing development and working capital. The acquisition of BCA adds a full range of primary and secondary packaging systems expertise, expands and augments Mpac's positioning in its core Food & Beverage, Healthcare and Clean Energy sectors, and offers opportunities to grow both Original Equipment sales and Service revenue. The acquisition provides a significant growth opportunity into EMEA through Mpac’s sales presence, a geography previously unaddressed by BCA. The acquisition of BCA is immediately earnings-accretive to the Group, adding 2% to FY24 revenue (pro rata) and 8% and 10% respectively to our FY25 revenue and (adj.) EBITDA outlook. We take the opportunity to introduce forecasts for FY26 and raise our fair value to 550p/share, indicative of a FY25 EV/EBITDA of 6.7x, which remains at a significant discount to the peer group average of 10.6x.