Johnson Service Group PLC
04 January 2005
4 January 2005
Johnson Service Group PLC
Acquisition of Dewhirst Corporate Clothing (DCC) Limited
Johnson Service Group PLC ('Johnson') announces the acquisition of the
corporatewear business of the Dewhirst Group Limited. Johnson will acquire, on a
debt free basis, the entire issued share capital of Dewhirst Corporate Clothing
(DCC) Limited ('Dewhirst') which will comprise only the corporatewear division
following the transfer of its other trading activities elsewhere in the Dewhirst
Group prior to purchase by Johnson. The consideration payable is £22.5 million
in cash on completion, including £1.3 million for a freehold property, plus up
to £1.25 million of deferred cash consideration dependent on the signing of
specific additional customer contracts by Dewhirst within the next 12 months.
Dewhirst provides corporatewear to a number of the UK's leading financial
services providers and other businesses in the hotel and leisure sectors.
The corporatewear division of Dewhirst had turnover and EBIT for the year ended
January 2004 of £21.8 million and £2.8 million respectively with net assets at
that date of £7.4 million. The acquisition is expected to be earnings enhancing
in the current financial year.
Johnson Group CEO Stuart Graham said: 'This acquisition complements our existing
corporatewear businesses of CCM, Dimensions and Yaffy, the latter two having
been acquired during 2004. We have increased our market penetration and service
offering, with sales in this sector rising from around £20 million two years
ago to a run rate in excess of £90 million.'
David Toon, Managing Director of the Johnson Textile and Hospitality Services
Division, added: 'We are now the clear market leader in the provision of
clothing for people at work in the UK. The division comprises exciting and
dynamic brands committed to delivering excellence in customer service and
product quality. The strong management team will provide the platform for
continued growth as well as an opportunity to move into the European market at
the appropriate time.'
Johnson will issue its pre-close trading statement on 12th January 2005.
For further information, please contact:
gcg hudson sandler Johnson Service Group PLC
Sandrine Boussard Stuart Graham, CEO
James Benjamin Jim Wilkinson, CFO
Telephone: 020 7796 4133 Telephone: 0151 933 6161
Website: johnsonplc.com
Notes to editors - The Johnson Service Group
The Johnson Service Group is a support services business with two principle
activities: Textile and Hospitality Services and Facilities Management.
Over the last 2 years the Company has been extensively overhauled under the
leadership of Chief Executive Stuart Graham and his strengthened management
team. They have developed and grown the Group's core activities through a
combination of strategic acquisitions and organic growth.
Textile and Hospitality Services includes some of the industry's leading names.
Johnsons Apparelmaster is Britain's leading workwear rental business; CCM
specialises in the manufacture and sourcing of workplace garments; Dimensions is
the country's leading supplier of corporatewear; Stalbridge Linen is Britain's
leading supplier of linen and chefs' wear to the leisure, professional catering
and corporate hospitality sectors; Johnson Hospitality Services is the British
market leader in the hire of catering equipment, hospitality furniture and
related items to sporting, entertainment and similar events. Johnsons Cleaners,
Britain's No. 1 drycleaning brand, and Sketchley, provide a nationwide network
of circa 600 retail drycleaning shops. Jeeves of Belgravia provides an exclusive
and bespoke drycleaning service within the London area.
Johnson Workplace Management, provides a comprehensive range of services based
on a unique business model. This focuses on management, property expertise and
the provision of a wide range of support services to FTSE businesses, national
companies and institutions.
This information is provided by RNS
The company news service from the London Stock Exchange
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