Floor coverings distributor Headlam has snapped up Black Country operation Concept (Midlands) for £1.7 million.
Warwickshire business Headlam believes the deal will further strengthen its presence in the commercial flooring sector.
West Bromwich-based Concept - which employs 12 people - had turnover for the year for the year to the December 31, 2005, of £3.54 million and profit before tax was £414,000.
The company supplies flooring contractors throughout the Midlands.
Headlam said it acquired the business for £1.7 million.
An additional £50,000 would be paid to Concept on completion of accounts as at September 30, confirming minimum net assets of £1.2 million.
Headlam said Concept would operate autonomously from its existing location and it would "further strengthen the group's position in the Midlands commercial flooring market."
Headlam employs around 1,700 people in the UK.
Last month Headlam revealed a flood of new product launches had helped boost its half year performance.
More than 2,000 new flooring types were launched by the Coleshill firm during the period, accompanied by half a million point of sale items to its trade customers.
Headlam was also boosted by improved sales at its operations in France, Switzerland and the Netherlands, as all of its operations reported an increase in profits and sales.
Like for like sales in the UK increased by 3.6 per cent, while the firm was looking forward to its traditional busy autumn.
In the six months to June 30, sales increased by 5.7 per cent to £245.7 million while pre tax profits rose by 7.4 per cent to £19.5 million. ..SUPL:
