10th Oct 2005 07:00
Wincanton PLC10 October 2005 Immediate Release 10 October 2005 Wincanton plc Acquisition French acquisition strengthens Wincanton plc's European leadership Wincanton plc ('Wincanton') announces significant further progress in thedevelopment of its position as one of the leading European providers of supplychain management services. Wincanton is acquiring the principal French operations of Premium Logistics('Premium') for an initial debt-free consideration of approximately €24m. Up toa further €6m may be payable subject to the financial performance of Premium inthe year to 31 December 2005. As part of the transaction, Wincanton is alsoacquiring for an additional €7.5m certain assets currently leased to Premium bythe vendor. The acquisition will be financed from Wincanton's existing borrowingfacilities. In the twelve months to 30 June 2005, Premium reported, on a pro-forma basis,turnover of approximately €100m, EBIT of approximately €4.0m and EBITDA ofapproximately €6.5m. Net assets at 30 September 2005 were approximately €11m. The acquisition, when combined with Wincanton's existing Strasbourg-basedactivities, gives Wincanton national coverage of the important French market, anenhanced portfolio of customer contracts and further strength and depth ofmanagement resource. Pro-forma annual turnover of the enlarged French business,which will operate from 29 sites across France, is expected to be approximately€150 million. This represents a substantially stronger and broader business basefrom which Wincanton can serve both the French and cross-border requirements ofits portfolio of blue-chip customers. Premium's customers operate predominantly in sectors in which Wincanton has astrong track record and acknowledged expertise. Its contract base includesmultinational FMCG companies, leading retailers of grocery, DIY and homefurnishing products and major manufacturers of automotive, chemical andlubricant products. Its service offering is focused principally on warehousemanagement and, although it also manages customers' fleet requirements, it hasno transport operations of its own. Paul Bateman, Wincanton's Chief Executive, commented; 'This acquisition significantly strengthens our operational capabilities andcustomer portfolio in the important French market. It reinforces our commitment to our strategy of combining leadership in nationalmarkets with strong cross-border, regional and Pan-European capabilities.' Wincanton plcCharles Carr, Group Communications Director 01249 710 763 Buchanan CommunicationsCharles Ryland/ Jeremy Garcia 020 7466 5000 Notes to editor About Premium Wincanton is acquiring the principal French operations of Premium Logistics(Premium) for an initial debt-free consideration of approximately €24m. Premiumhas 21 sites, employs c. 900 people and operates in a number of market sectors,including DIY and home furnishing retail, FMCG/food manufacturers, automotive,lubricant and chemical manufacturers and grocery retailers. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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