Takeover and broker news.3 Jul 2017 18:20
Takeover!
24m takeover. 'Huntsworth plc, the healthcare communications and public relations group ("Huntsworth" or "the Group"), today announces the acquisition of the entire share capital of The Creative Engagement Group ("TCEG") from funds managed by LDC (Managers) Limited ("LDC") and certain members of TCEG's management for total consideration of £24.7m.
Transaction highlights
TCEG is a collection of three creative agencies - WRG, The Moment and Just Communicate - that provide experiential marketing primarily through events and digital marketing, including virtual and augmented reality, predominantly to healthcare clients.'
'The consideration of £24.7m will be financed through the Group's existing facilities. TCEG generated revenues of c. £26m and EBITDA of c. £3.8m in the year to 31 October 2016 and the Group expects the acquisition to be accretive to the Group's earnings in the current financial year. TCEG's gross assets were £26.6m as at 31 October 2016.'
Sounds very positive. Cost savings available too? Numis clearly liked the news increasing it's target price to 77p..