Business
K-Bro Announces Transformative Acquisition of U.K.-Based Star Mayan for £107 Million (C$199 Million) and Concurrent C$70 Million Subscription Receipt Offering
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES EDMON...
About this update from K-bro Linen Inc.
[{"type":"text","content":"K-Bro Announces Transformative Acquisition of U.K.-Based Star Mayan for £107 Million (C$199 Million) and Concurrent C$70 Million Subscription Receipt Offering\n\n\n\n\n NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES\n \n\n\n EDMONTON, Alberta, May 13, 2025 (GLOBE NEWSWIRE) -- K-Bro Linen Inc. (“\n \n K-Bro\n \n ” or the “\n \n Corporation\n \n ”) (TSX:KBL) is pleased to announce that it has signed a share purchase agreement with STAR Capital Partnership LLP to acquire 100% of U.K.-based STAR Mayan Limited (“\n \n Star Mayan\n \n ”) for a cash purchase price of £107.2 million (approximately C$199.1 million), on a cash-free, debt-free basis, including a normalized level of working capital (the \"\n \n Acquisition\n \n \"). The Acquisition is highly complementary to K-Bro's existing U.K. businesses, Fishers and Shortridge. K-Bro’s combined U.K. platform creates a national footprint in the U.K.'s £1.6 billion commercial laundry and textile rental market.\n \n\n Star Mayan owns 100% interests in three operating businesses: (i) Synergy Health Managed Services Limited (“\n \n Synergy\n \n ”); (ii) Grosvenor Contracts (London) Limited (“\n \n Grosvenor\n \n ”); and (iii) Aeroserve (MSP) Limited and Aeroserve Euro Limited, jointly referred to as Aeroserve Linen Services (“\n \n AeroServe\n \n ”). Star Mayan, doing business as Synergy, Grosvenor and AeroServe, is a leading commercial laundry business in England, serving the healthcare and hospitality markets and has seven operating facilities strategically located across England: Bermondsey, Derby, Dunstable, Sheffield, Slough (2), and St. Helens, in addition to a distribution depot in Manchester. Star Mayan has a diversified customer base including hospitals, healthcare facilities, NHS Trusts, Community Trusts, airlines, marine ferries and hospitality providers.\n \n\n “I am thrilled to announce our transformative acquisition of Star Mayan, K-Bro’s largest acquisition in our history. The Acquisition, combined with K-Bro’s existing U.K. businesses, Fishers and Shortridge, creates a top three national platform in the attractive U.K. market serving both healthcare and hospitality customers,” said Linda McCurdy, Dire...