Incitec Pivot (ASX:IPL) buys Titanobel for $142m

Incitec Pivot (ASX:IPL) has inked a deal to buy French explosives maker Titanobel for $142 million.

Titanobel is a industrial explosives manufacturer and drilling, blasting and technical services provider based in France

The deal represents an expected acquisition multiple of 7.8x financial year 2020 EBITDA and is to be funded from cash and debt reserves and is expected to be earnings per share neutral in the first full year of ownership and earnings per share accretive from then on as synergies are realised.

The transaction is set to complete by June this year.

Shares are trading 1.2 per cent higher at $3.34.