LiqTech International (NASDAQ: LIQT) stock observed trading -37.23% off 52-week high price. On the other end, the stock has been noted 53.90% away from low price over the last 52-weeks. The stock disclosed a move of -20.89% away from 50 day moving average and -14.88% away from 200 day moving average. Moving closer, we can see that shares have been trading -7.25% off 20-day moving average. It has market cap of $139.77M.
On Sept. 04, 2019, LiqTech International (NASDAQ:LIQT) a clean technology company that manufactures and markets highly specialized filtration technologies, notified the closing of its recently announced agreement to acquire BS Plastics A/S, a specialized plastic manufacturer based in Denmark. The acquisition allows LiqTech to in-source certain components of its proprietary and market-leading ceramic silicon carbide water filtration systems for closed loop marine scrubber applications, which the Company expects will result in enhanced profitability through improvement to its go forward gross margins.
Total upfront consideration paid by LiqTech for BS Plastics was approximately US $1.4 million, with an additional US $900,000 possible through earnouts over the next 3 years. LiqTech funded the acquisition from cash on hand. Based on expected improvement to gross profits from the acquisition as well as contributions from BS Plastics A/S other operations, LiqTech expects a return on investment in approximately one year.
Sune Mathiesen, CEO of LiqTech International, commented, The acquisition of BS Plastics advances one of the key components to the margin optimization program the Company laid out at the beginning of this year – the in-sourcing of certain manufacturing activities. By bringing the manufacturing of certain plastic tanks and machined plastics products for our water filtration systems in-house, we expect to save upwards of $1 million annually based on our current production levels, with more significant savings in the years to come as volumes increase. Given these savings, coupled with profits from BS Plastics’ existing operations, we expect the payback to shareholders to be approximately one year on this investment. I couldn’t be more pleased with the execution on our growth and operational initiatives thus far in 2019 and look forward to the continued improvements in the quarters and years to come.
BS Plastic was founded in 1958 as a provider of machined and welded plastic parts and is currently a supplier of plastic components to LiqTech. Recently, BS Plastic has focused on parts for the prepress, UV and aquaculture market segments.
The Denmark based company LiqTech International moved with change of 1.82% to $6.71 with the total traded volume of 116711 shares in recent session versus to an average volume of 205.97K. The stock was observed in the 5 days activity at -1.32%. The one month performance of stock was -16.12%. LIQT’s shares are at -31.25% for the quarter and driving a 32.09% return over the course of the past year and is now at 22.45% since this point in 2018. Right now the stock beta is 1.06. The average volatility for the week and month was at 5.20% and 7.57% respectively. There are 20.83M shares outstanding and 17.67M shares are floated in market.