Business
Acquisition of Dayla Liquid P
Acquisition of Dayla Liquid P.
About this update from Nichols Plc
[{"type":"text","content":"\n RNS Number : 8418J Nichols PLC 10 December 2008 \n \n\n\n\n\n\n\n\nDate:\n\n\nEmbargoed until 07.00am, Wednesday 10 December 2008\n\n\n\n\n\nContacts:\n\n\nJohn Nichols, Non-Executive Chairman\n\n\n\n\nBrendan Hynes, Group Chief Executive\n\n\n\n\nNichols plc\n\n\n\n\nTelephone: 01925 222222\n\n\n\n\nWebsite:www.nicholsplc.co.uk\n\n\n\n\n\n\n\n\n\n\n\n\nAlistair Mackinnon-Musson\n\n\nRichard Evans\n\n\n\n\nNathan Field\n\n\nBrewin Dolphin Ltd\n\n\n\n\nHudson Sandler\n\n\n(Nominated Adviser)\n\n\n\n\nTelephone:020 7796 4133\n\n\nTelephone: 0845 213 4853\n\n\n\n\nEmail: [email protected]\n\n\nWebsite: www.corporatefinance.brewin.co.uk\n\n\n\n\n\n\nNichols plc\n\nAcquisition of Dayla Liquid Packing Ltd\n\n\nNichols plc ('Nichols') is delighted to announce the acquisition of 50% of Dayla Liquid Packing Ltd ('Dayla') with the option of buying the remaining 50% in 2011 or 2012. \n\nNichols is a highly focused soft drinks and dispensed cold drinks business, comprising two operations:\n\n\n\n\n\n1.\n\n\nSoft Drinks (sales and marketing of the Vimto brand, which is now available in over 65 countries throughout the world, as well as the Panda and Sunkist brands in the UK)\n\n\n\n\n\n2.\n\n\nDispense Systems (namely Cabana, Beacon and Cariel cold drinks on draught 'dispense' businesses) \n\n\n\n\n\nNichols is the UK's third largest supplier to the dispense sector, while Dayla has built a unique position in the European market, with leading new product development and aseptic, premium juice manufacturing capabilities. Furthermore, Dayla has been a major supplier to Cabana for a number of years.\n\nThis investment will enable Nichols to capitalise on opportunities both in the UK and overseas and allow it direct access to the growing premium juice market.\n\nNichols has acquired 50% of the issued share capital of Dayla, for £2.78 million, with a further £1.0 million deferred until December 2009. Nichols also has an option to purchase the remaining 50% in 2011 or 2012, based on an agreed earnings valuation mechanism.\n\nDayla's sales in the last unaudited accounts for the year to September 2008 were £9.2 million, operating profits were £0.9 million with compound s...