Acquisition

RNS Number : 1504I

CVS Group plc

14 November 2008

 



For immediate release

14 November 2008

CVS Group plc

('CVS' or the 'Company')

Acquisition of The Village Animal Hospital 

CVS, one of the UK's leading providers of veterinary services, is pleased to announce the acquisition of a four surgery Surrey based practice, The Village Animal Hospital ('VAH').  VAH centres its operation on the main facility in Caterham, with branches in Redhill, Oxted and Smallfield.

The Caterham surgery is a state of the art animal hospital, including extensive in-house laboratory facilities, operating theatres and diagnostic facilities, from which VAH provides a multidiscipline service for small animal patients with access to expert clinicians in most major fields of veterinary medicine. 

CVS will assume all management responsibilities for VAH following completion of the acquisition including the current employees, which comprise 8 professional vets amongst a total staff of 44. In line with CVS' strategy, all administration will be consolidated within CVS' central facilities, providing scope for cost synergies and benefits following the acquisition.

In the year ended 31st July 2007, VAH achieved an EBITDA of £145,000 on turnover of £1.67m. The unaudited turnover for the year ended 31st July 2008 amounted to £1.85m. The value of the fixed assets of VAH to be acquired is £147,000.

The acquisition is a further enhancement, both geographically and operationally, to CVS' existing portfolio of 151 veterinary surgeries, 6 veterinary laboratories and 1 pet crematorium. In line with CVS' stated strategy, the acquisition of VAH offers opportunities, through integration, for cost efficiencies and improved shareholder  returns.

Commenting on the acquisition, CVS Chief Executive Simon Innes said: 

'The acquisition of Village Animal Hospital is an excellent one for CVS. The state of the art facilities provide us with a major offering within the South East and sits alongside the 17 surgeries that CVS already owns in the region.

The acquisition of this animal hospital is in keeping with our aim to provide clinical excellence with an exceptional level of client service. VAH provides a significant opportunity to enhance shareholder returns, as  with all acquisitions integrated into the CVS Group to date.'  

Contacts:

CVS Group plc	01379 644 288
Simon Innes, Chief Executive Paul Coxon, Finance Director
Buchanan Communications	020 7466 5000
Richard Oldworth Ben Romney

 

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