Acquisition

RNS Number : 5607H

Wincanton PLC

06 November 2008

 



For immediate release                                                                                    6 November 2008

Wincanton plc

Acquisition announced today gives market leadership in UK container

logistics

Wincanton plc ('Wincanton' or the 'Group'), the leading European supply chain solutions provider, today announces the acquisition of CEL Group Ltd and its subsidiaries ('CEL Group'), a major container logistics provider in the UK.  

CEL Group is being acquired for an initial debt-free consideration of approximately £19.5m with up to a further £4.5m payable subject to the financial performance of CEL Group in the period to 31 August 2009. The acquisition will be financed from Wincanton's existing borrowing facilities.

The acquisition represents the latest in a series of in-fill acquisitions which are enhancing the Group's current profitability, broadening its business base and generating incremental opportunities for medium and longer-term growth.

In the twelve months to 31 August 2008, CEL Group reported, on a pro-forma basis, turnover of approximately £60.7m, EBITDA of approximately £6.2m and EBIT of approximately £3.8m. Net assets at 31 August 2008 were approximately £7.5m.

CEL Group operates from 8 locations providing UK-wide container haulage, storage and maintenance services, employs some 470 people and operates a fleet of approximately 370 vehicles. The acquisition broadens Wincanton's customer base providing a customer portfolio with major shipping lines such as Maersk Line, Yang Ming Line, Hanjin Shipping Company, Coscon and Hamburg-Sud.  

Graeme McFaull, Wincanton's Chief Executive, commented: 

'CEL fits extremely well with our acquisition earlier this year of Hanbury Davies and gives Wincanton a market-leading position in a sector with very attractive growth prospects. 

We now have a solid platform in container and intermodal logistics, and in related services such as customs clearance, in each of our focus markets of the UK, Germany, France and Poland, and see this as a sector with good pan-European potential.' 

For further information please contact: 

Wincanton plc 
Graeme McFaull, Chief Executive                    01249 710 000
Gerard Connell, Group Finance Director 

Buchanan Communications 
Charles Ryland / Jeremy Garcia                      020 7466 5000
                      

 

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