Business
Acquisition
Acquisition.
About this update from Halfords Group Plc
[{"type":"text","content":"\n RNS Number : 3154H Halfords Group PLC 18 February 2010 \n \n\n18 February 2010\n \n Halfords Group Plc (\"Halfords\" \"The Group\")\nHalfords Expands into Car Servicing & Repair via Nationwide Acquisition\n \nHalfords is building on its leading retail position in car maintenance to expand into the UK's £9 billion car servicing and repair market. \n \nHalfords announces the acquisition of Nationwide Autocentres (\"Nationwide\"), the UK's leading independent car servicing and repair operator, with 224 outlets nationally, for a cash consideration of £73.2m. Nationwide offers motorists dealership quality car servicing, MOTs and repairs at more affordable prices. The transaction meets the Group's acquisition strategy and will further extend Halfords presence in the car maintenance market. Following the acquisition Nationwide will be re-branded as Halfords Autocentres and it is intended to roll-out a further 200 centres, creating over 1,000 new jobs.\n \nHighlights\n \n· Halfords acquisition of the entire issued share capital of Nationwide, creates the largest UK operator with a specialised focus on the car parts, servicing and repair market. \n \n· Nationwide provides servicing, MOTs and repairs for both the consumer and fleet markets, and from its 224 centres, is the only national operator that offers dealership quality service at lower prices. \n \n· Nationwide's highly experienced and successful management team will join the enlarged Group.\n \n· The Group intends to open at least 200 additional centres in the coming years. This doubling of scale provides a strong growth opportunity, requires low capital investment and generates working capital inflows. The expansion programme will be funded from the Group's net cash flow.\n \n· Further growth opportunities are anticipated from cross-marketing of the Group's complementary customer base. Cost and purchasing synergies are also anticipated.\n \n· Nationwide's EBITDA has grown by 70% over the ...