Johnson Service Group PLC
16 December 2003
16 December 2003
JOHNSON SERVICE GROUP PLC
ACQUIRES LEADING HOSPITALITY AND EVENTS HIRE BUSINESS
Johnson Service Group PLC (Johnson) announces that it has acquired the whole of
the issued share capital of Jongor North Limited and as part of a separate,
concurrent transaction with appointed receivers, Johnson has also acquired the
trade and assets of Jongor Events Limited. The combined business will be a
market leader in the UK in the hire of catering equipment, hospitality furniture
and related items.
Johnson has identified this sector as highly fragmented and believes there is
significant opportunity now to create a truly national business. As well as a
strategic entry into this market, this acquisition reinforces the leading market
position already held by the Group's complementary business, Stalbridge .
The maximum consideration is £2.4m payable in cash. Net assets acquired, based
on the last audited accounts, amount to approximately £4.4m. The existing
operational management will remain with the business and it will trade under the
new brand of 'Johnson Hospitality Services Limited'.
Johnson CEO, Stuart Graham, said: 'Our Stalbridge Linen business is a leading
participant in the events market. During our strategic review process in 2003
we identified opportunities to extend our product and service offering to the
longstanding and excellent relationships we have with those catering customers
who dominate this sector. This acquisition also affords synergies, given that
both Stalbridge and this new business typically work alongside each other on a
regular basis.'' He added ''Both Stalbridge and our new brand 'Johnson
Hospitality Services' have very similar operational, customer service and back
office practices. Through shared administration and efficiencies this addition
to the portfolio of Johnson Service Group brands will present immediate benefits
to the Group.'
Johnson Hospitality Services MD Rupert Higgins (formerly MD of Jongor North)
said 'Stalbridge Linen and the acquired business are familiar faces at most of
the UK's prestigious events. Together, and with the support of Johnson, we can
not only combine forces at an operational level but also broaden and extend the
range of services into the combined customer base. He added '' the similarity in
working practices is striking and presents significant opportunities to build
value almost immediately.'
-ENDS-
Note to Editors:
Johnson Service Group is Britain's market leader in workwear rental as well a
manufacturer and sourcer of workwear garments and related apparel.
Stalbridge Linen is UK market leader in the leisure, professional catering and
corporate entertainment sectors.
The Group's dry-cleaning business is Britain's leading drycleaner with over 530
shops.
Johnson Workplace Management Ltd is a leading provider of a wide range of
facilities management services and has a substantial client base including blue
chip companies and central government departments.
For further information, please contact:
Hudson Sandler
Michael Sandler/Wendy Baker
Telephone 020 7796 4133
or
Johnson Service Group PLC
Mike Sutton, CFO
Telephone 0151 933 6161
This information is provided by RNS
The company news service from the London Stock Exchange
*A Private Investor is a recipient of the information who meets all of the conditions set out below, the recipient:
Obtains access to the information in a personal capacity;
Is not required to be regulated or supervised by a body concerned with the regulation or supervision of investment or financial services;
Is not currently registered or qualified as a professional securities trader or investment adviser with any national or state exchange, regulatory authority, professional association or recognised professional body;
Does not currently act in any capacity as an investment adviser, whether or not they have at some time been qualified to do so;
Uses the information solely in relation to the management of their personal funds and not as a trader to the public or for the investment of corporate funds;
Does not distribute, republish or otherwise provide any information or derived works to any third party in any manner or use or process information or derived works for any commercial purposes.
Please note, this site uses cookies. Some of the cookies are essential for parts of the site to operate and have already been set. You may delete and block all cookies from this site, but if you do, parts of the site may not work. To find out more about the cookies used on Investegate and how you can manage them, see our Privacy and Cookie Policy
To continue using Investegate, please confirm that you are a private investor as well as agreeing to our Privacy and Cookie Policy & Terms.