LONDON (Alliance News) - CIP Merchant Capital Ltd said Thursday it has entered into a non-binding conditional head of terms with Italian veterinary services company 7Star Srl.
CIP will invest up to EUR2.6 million in 7Star to acquire a 49% stake. CIP will also provide an interest-free shareholder loan of up to EUR3.5 million.
Bringing the total investment to EUR6.1 million.
7Star, which began operation in October 2017, currently operates a veterinary hospital, under the brand Happy Friends, in Lombardy, north Italy.
The investment will be used to finance the expansion of 7Star's operations, through the opening of further hospitals and clinics in northern Italy.
For the year ended December 2017, having been operating for only two months, 7Star reported revenue of EUR100,000 and had total assets of EUR1.5 million. In the nine months ended September, revenue had grown to about EUR600,000
Shares in CIP Merchant Capital were untraded Thursday but last closed at 86.00 pence each.
