19th Mar 2008 07:01
WH Smith PLC19 March 2008 Press Release 19 March 2008 WHSmith Travel division expands with the acquisition of UNS Hospitals and the announcement of a franchise agreement with RoadChef WH Smith PLC has acquired UNS Group Limited ('UNS Hospitals') for a cashconsideration of £19m. The transaction will be funded from existing cashresources and available bank facilities and will strengthen WHSmith's presencein hospitals across the UK. The acquisition will be earnings neutral in 2007/08and earnings accretive in 2008/09. UNS Hospitals trades as United News and has 72 retail units and 8 Caffe Nuovocoffee shops in 62 hospitals throughout the UK. UNS Hospitals has developed aleading position in the hospital sector and has a strong and experiencedmanagement team. WHSmith currently has 8 units trading in 7 hospitals and thisacquisition significantly strengthens our presence in this growing channel.Exceptional integration costs will be around £1m in the current financial year. WH Smith PLC also announces a franchise agreement with RoadChef to open travelunits in all 29 RoadChef motorway service areas. This announcement follows asuccessful trial at the RoadChef service area on the M1 at Watford Gap. Kate Swann, WHSmith Group Chief Executive, said: "The acquisition of UNS Hospitals creates further growth opportunities for ourTravel business. The hospital channel is under developed and the combination ofthe experienced UNS management team and the WHSmith brand and offer will bringbenefits for customers. "We look forward to working with RoadChef to extend our motorway service areaoffer, bringing WHSmith products and services direct to the motorist." - Ends - Enquiries: WH Smith PLCSue Barratt Media Relations 020 7851 8850Mark Boyle Investor Relations 020 7851 8820 BrunswickTom Buchanan 020 7404 5959Anna Jones NOTE TO EDITORS WH Smith PLC is made up of 547 High Street stores, 218 Travel units at airportsand stations, 123 Travel units at motorway service area locations includingRoadChef and 8 Travel units in 7 hospitals thoughout the UK. The High Streetbusiness sells a wide range of newspapers, magazines, stationery, books andentertainment products, while WHSmith Travel sells a tailored range ofnewspapers, magazines, books and confectionery products for people on the move.In addition, WHSmith Direct - www.whsmith.co.uk - serves customers on theinternet 24 hours a day. UNS Group Ltd is a leading retailer in the hospital sector. Trading as UnitedNews, it has 72 units and 8 Caffe Nuovo coffee shops in 62 hospitals locationsacross the UK. The units range in size between 150 and 2,000 sq ft. The businesshas approximately 600 employees and is based in Leeds from where it willcontinue to operate. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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