Shares of Hornby PLC (LON: HRN) are down on Friday after the company reported it has acquired the remaining 51% of LCD Enterprises Limited.
The company purchased the remaining percentage from Lyndon Davies, CEO of the LCD, and his wife Catherine Davies, who owns the remaining stake.
LCD holds a majority interest in the Oxford Diecast Group, which supplies diecast model vehicles and railway products to the collector, gift, and hobby markets in the UK, Hong Kong, and North America.
Hornby previously acquired 49% of LCD in December 2017 for £1.6 million.
They have agreed to acquire the company's remaining stake for £1.3 million, which will be funded from cash in the bank.
“The Company believes that the Oxford Diecast Group's portfolio of brands and industry knowledge are complimentary to its existing brand portfolio and that opportunities exist for the two businesses to work collaboratively together to grow both businesses,” Hornby said in a statement.
“The Group is well placed to leverage the value of the LCD inventory and to further develop the brand's intellectual property, which includes a range of scale models that complement the Hornby product ranges,” they added.
Hornby shares are currently down 3.1% at 45p.
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