20th Nov 2007 12:57
Helphire Group PLC20 November 2007 Helphire Group plc ("Helphire") Acquisition of Cab Aid Limited ("Cab Aid") Helphire today announces that on Monday 19th November 2007 it acquired Cab Aidfor total cash consideration of up to £5.24 million comprising £4.04 millionthat was paid on completion and additional deferred consideration of up to £1.2million that is dependent on the achievement of targets over a 12 month periodfrom completion. The acquisition was funded from Helphire's acquisition facilityprovided by HBOS and RBS. Cab Aid is a specialist provider of replacement vehicles to the taxi market,offering a full range of licensed vehicles including hackney carriages, privatehire, wheelchair accessible and multi-seater models. It also specialises in thecustomisation of replacement vehicles to the specific needs of the relevantlocal authority. Cab Aid also provides full claims management services,including vehicle repair, loss of earnings and PI claims handling. With its head office in Sutton in Surrey, and depots in Sutton and Manchester,Cab Aid employs approximately 80 staff and operates a fleet of 300 vehicleswhich is partially owned and partially contract hired. Cab Aid generated pre tax profits of £1.1 million (unaudited) in the twelvemonths to 31 December 2006 on turnover of £6.0 million (unaudited). Prior tothis acquisition Cab Aid was Helphire's sole taxi sub-contracting provider andthus the acquisition will enable the Group to increase its margin in this nichebusiness. Other synergies include costs savings derived from the enlargedgroup's buying power associated with vehicles and the enlarged distributionnetwork. Nick Tilley Company Secretary 01225 321218 20th November 2007 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
REDD.L