DCC PLC
23 November 2007
DCC Healthcare expands in Britain
DCC plc, the business support services group, announces that DCC Healthcare has
expanded its presence in Britain through the acquisition of Squadron Medical
Limited ('Squadron'). Based in Chesterfield, Squadron procures and supplies
medical and surgical products on a just in time basis to point of use within
hospitals. Squadron will continue to be led by Peter Wyslych, its founder and
Managing Director.
The initial cash consideration payable by DCC is €16.0 million (Stg£11.5
million), including net cash acquired of €3.5 million (Stg£2.5 million). Further
consideration will be payable up to a maximum of €11.8 million (Stg£8.5 million)
based on profits earned in each of the four financial years to 31 March 2012. In
its latest financial year ended 30 August 2007, Squadron had sales of €36.9
million (Stg£26.5 million) and adjusted operating profits of €2.6 million
(Stg£1.9 million). The value of the net tangible assets acquired at completion
(inclusive of net cash) was €7.4 million (Stg£5.3 million).
Jim Flavin, Executive Chairman of DCC plc, said today:
'Squadron is well positioned for continued strong growth in the British hospital
supply sector. Squadron will work closely with DCC's subsidiary Fannin, a leader
in hospital supplies in Ireland, to accelerate the development of DCC
Healthcare's business in the hospital supply sector in Britain.'
For reference:
Jim Flavin, Executive Chairman
Tommy Breen, Group Managing Director
Conor Costigan, Managing Director, DCC Healthcare
Conor Murphy, Investor Relations Manager
Telephone: +353 1 2799400
Email: investorrelations@dcc.ie
Web: www.dcc.ie
This information is provided by RNS
The company news service from the London Stock Exchange