CEPS (AIM:CEPS) said its 75%-owned subsidiary Aford Awards Group Holdings (AAGHL) acquired the entire share capital of A J Sharp on 25 September, through a newly incorporated vehicle.
The total consideration is £3.45 million on a cash-free, debt-free basis, split between £2.74 million payable in cash on completion and £710,000 in vendor loan notes carrying 6% annual interest.
AAGHL is subscribing for £2.8 million of acquisition loan notes at 7% interest, subordinated to the vendor loan notes, with the whole consideration funded from CEPS' existing cash via an unsecured loan to AAGHL.
A J Sharp, trading as The English Pewter Company, is a Sheffield-based, family-run manufacturer of handcrafted pewter gifts and tableware founded in 1977, producing personalised and engraved gift sets, tankards, hip flasks and decorative homeware.
For the year ended 31 December 2025, the company generated unaudited revenue of £3.2 million and unaudited pre-tax profit of £326,932, with net assets of £847,970.
CEPS estimates adjusted "normalised" EBITDA of approximately £690,000 for the period, once non-continuing costs are stripped out post-completion.
The company described the purchase as a bolt-on acquisition that aligns with its value creation strategy for shareholders.