DCC Healthcare Acquisition of Williams Medical

RNS Number : 6756I

DCC PLC

03 June 2014

 



STOCK EXCHANGE ANNOUNCEMENT

3 June 2014

DCC Healthcare acquisition significantly increases market coverage in Britain

DCC plc, the international sales, marketing, distribution and business support services group, announces that DCC Healthcare's subsidiary DCC Vital has acquired Williams Medical Holdings ("Williams"), the market leader in the supply of medical and pharmaceutical products and related services to general practitioners in Britain.  The consideration was paid in cash at completion, based on an enterprise value of £45 million.

Williams supplies a wide range of own and third party branded products - medical equipment, consumables and pharmaceuticals - to a very broad customer base of c.10,000 GP practices, as well as healthcare providers in the community care and domiciliary care sectors.  The business also provides a range of services including field based testing & calibration and repair & maintenance of equipment.  The Williams business model, similar to that in DCC Technology, is based on telesales, e-commerce, product catalogues and key account management, supported by high quality IT systems and cost effective logistics.

Williams has 165 employees and operates from a modern, purpose built facility in Rhymney, SouthWales. In its last financial year ended 31 July 2013, Williams recorded an adjusted operating profit of £6.0 million.

DCC Vital is building a substantial business focused on sales and distribution of own and third party pharmaceuticals and medical devices across all channels to the healthcare market. DCC Vital already has excellent market coverage in Britain and Ireland in the secondary care (hospital) and retail pharmacy channels.  The acquisition of Williams, with its market leading position in primary care and developing positions in community care and domiciliary care, means that DCC Vital now has the most comprehensive sales and distribution network in the British and Irish healthcare markets. Leveraging this expanded market coverage is expected to provide near term synergy opportunities, as well as strengthening the platform for further growth.

Tommy Breen, Chief Executive of DCC plc, said today:

"The acquisition of Williams Medical represents an excellent strategic fit and another material step forward for DCC Healthcare following the acquisitions of Kent Pharma, Leonhard Lang UK and UPL over the last 15 months."

For Reference:

Tommy Breen, Chief Executive, DCC plc

Conor Costigan, Managing Director, DCC Healthcare

Stephen Casey, Investor Relations Manager

Telephone: [phone]

Email: [e-mail]

Web: www.dcc.ie

 

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