Business
Acquisition of homecare provider ILS Group
Acquisition of homecare provider ILS Group.
About this update from Mears Group Plc
[{"type":"text","content":"\n \nRNS Number : 7378C Mears Group PLC 19 April 2013 \n \n\n19 April 2013 \n \n \nTHIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN OR SOUTH AFRICA OR ANY JURISDICTION IN WHICH SUCH PUBLICATION OR DISTRIBUTION IS UNLAWFUL. THIS ANNOUNCEMENT IS NOT AN OFFER OF SECURITIES IN THE UNITED STATES, CANADA, SOUTH AFRICA, AUSTRALIA, JAPAN OR ANY JURISDICTION IN WHICH SUCH PUBLICATION OR DISTRIBUTION IS UNLAWFUL.\n \n \nMears Group PLC\n(\"Mears\" or the \"Company\")\n \n \nAcquisition of ILS Group Limited (\"ILS\") and Placing of New Ordinary Shares \n \nHighlights\n \n· Acquisition of ILS, a leading homecare company operating solely in Scotland, for a total consideration of £22.5 million on a debt-free, cash-free basis\n· Over 40 per cent. of ILS's work is in higher acuity services\n· Provides high quality community based care services to approximately 3,400 service users \n· ILS provides Mears with the necessary platform to roll out higher acuity services across the UK\n· Placing of 6,368,069 million new Ordinary Shares to raise £19.7 million before expenses to fund the majority of the acquisition; balance of the consideration will be provided from Mears' existing debt facility\n· For the 12 months ended 31 January 2013 ILS generated unaudited EBITDA of £2.89 million (before corporate costs) on revenues of £24.4 million\n· The Acquisition is expected to be earnings per share neutral in the current year and earnings per share enhancing in the first full financial year post synergies\n \nInvestec Bank plc (\"Investec\") is acting as financial adviser to Mears in respect of the Acquisition and Investec and Canaccord Genuity Limited (\"Canaccord Genuity\") are acting as joint bookrunners, joint underwriters and joint agents in the Placing.\n \nDavid Miles, Chief Executive Officer of Mears commented: \n \n\"Fundamentally, the acquisition will provide Mears with the platform to provide higher acuity home service...