49 per cent in Canadian support services ?24m
12 December 2012
Carillion acquires 49 per cent interest in Canadian support services business for some £24 million
Integrated support services company, Carillion plc, has acquired a 49 per cent interest in The Bouchier Group for a consideration of £23.75 million. The consideration will be paid in cash in phased installments over the period to January 2014, with instalments adjusted to ensure the acquisition is completed on a debt free, cash free basis.
Under the acquisition agreement, Carillion has options to acquire a further 36 per cent interest in The Bouchier Group after five years and the remaining 15 per cent over six to ten years. The consideration for acquiring each further interest will be based on a four-times multiple of The Bouchier Group's prior three-year historic EBITDA, with the total consideration for the remaining 51 per cent capped at a maximum of £43.1 million, also on a debt free, cash free basis.
The Bouchier Group, which is based in Alberta, Canada, provides a range of services, including road maintenance, infrastructure services and facilities management, primarily for customers in the oil sector. The acquisition complements Carillion's existing support services activities in Canada and provides access to substantial new growth markets.
At the transaction date, The Bouchier Group had gross assets of £27.60 million. In the 12 month period to 31 March 2012, The Bouchier Group had revenue of £46.25 million and pre-tax profit of £7.76 million.
The vendors, Mr David Bouchier and Mrs Nicole Bourque-Bouchier, will remain President and Chief Executive, respectively, of The Bouchier Group following the acquisition.
Commenting, Carillion Chief Executive, Richard Howson, said: ''Acquiring this interest in The Bouchier Group is an important strategic step in the development of our support services business in Canada. The Bouchier Group has a successful track record in delivering high-quality services to a portfolio of blue chip customers. Its knowledge and skills complement our own and this will create significant new opportunities for us to grow our support services business in Canada through extending our services offering to new and existing customers".
For more information
John Denning, Director Group Corporate Affairs, Carillion plc + 44 (0) 1902 316426
Finsbury
James Murgatroyd or Gordon Simpson +44 (0) 207 2513801
Notes to Editors
Carillion is a leading support services company with a substantial portfolio of Public Private Partnership projects and extensive construction capabilities. The Group had annual revenue in 2011 of £5.1 billion, employs around 45,000 people and operates across the UK, in the Middle East and Canada.
The Group has four business segments.
Support services - this includes facilities management, facilities services, energy services, utility services, road maintenance, rail services and consultancy services.
Public Private Partnership (PPP) projects - this includes our investing activities in PPP projects in our chosen sectors of Defence, Health, Education, Transport, Secure and other Government accommodation.
Middle East construction services - this includes our building and civil engineering activities in the Middle East.
Construction services (excluding the Middle East) - this includes building, civil engineering and our development activities in the UK and our construction activities in Canada.
This and other Carillion news releases can be found at www.carillionplc.com
Photographs:
High resolution photographs are available free of charge to the media at www.newscast.co.uk telephone
+ 44 (0) 207 608 1000.
This information is provided by RNS
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