Kingspan to buy Co Meath firm for up to €900m

Building materials company Kingspan plans to purchase Co Meath-based data centre provider BMC Manufacturing for up to €900 million. BMC Manufacturing specializes in designing, manufacturing, and installing critical power systems for data centres and currently employs over 350 people in Dublin and Meath. The acquisition will be funded primarily through €850 million in cash and the issuance of €250 million worth of new shares, with an additional €50 million paid if certain profit targets are met.

BMC Manufacturing is projected to generate €280 million in revenue this year, with earnings before interest, tax, depreciation, and amortisation expected to reach €90 million. Kingspan anticipates that this figure will double by 2027. The company believes the acquisition will be highly complementary to its Advnsys subsidiary, which designs and builds data centre facilities.

Kingspan CEO Gene Murtagh expressed delight at the acquisition, stating that it aligns with the company's strategy to evolve its data offerings towards fully converged power, cooling, and containment solutions. BMC Manufacturing's advanced technology, combined with Advnsys' deep partnerships with multiple hyper-scalers, will position Kingspan well to meet the rapidly increasing global demand for data centre services.

BMC Manufacturing's founder and chairman, Brendan Meehan, welcomed the opportunity to join the Kingspan family, noting that the acquisition will provide the ideal platform to accelerate the company's global growth.