Last checked at 30 Sep 2014 09:03
30 September 2014
DCC to dispose of Robert Roberts and Kelkin
DCC plc, the international sales, marketing, distribution and business support services group, has agreed to dispose of Robert Roberts (including Findlater Wine & Spirits) and Kelkin (together the "businesses") to Valeo Foods, a leading Irish foods group. The disposal is conditional on clearance from the Irish Competition Authority.
Robert Roberts is a leading supplier of own brand and agency branded food and beverage products in the indulgence categories while Kelkin is a leading supplier of ambient healthy foods, beverages, fine foods and vitamins, minerals and supplements. Both Robert Roberts and Kelkin operate principally in the Irish market. In the year ended 31 March 2014, the businesses generated combined revenue of €120 million (£101 million) and combined operating profit of €7.3 million (£6.2 million), representing approximately 80% of the operating profit of DCC's food & beverage division. DCC's food & beverage division represented 3.7% of DCC's operating profit.
The total consideration for the businesses is €60 million (£47 million) on a debt free and cash free basis, payable in cash on completion. DCC expects to realise a modest gain on disposal over the carrying value including goodwill.
Tommy Breen, Chief Executive of DCC, said today:
"Robert Roberts, Findlater Wine & Spirits and Kelkin have a long and successful history in the Irish market and we expect them to continue to grow and develop under Valeo Foods' ownership."
For reference:
Tommy Breen, Chief Executive, DCC plc
Stephen Casey, Investor Relations Manager, DCC plc
Telephone: + 353 1 2799400
Email: investorrelations@dcc.ie
Web: www.dcc.ie
Media enquiries:
WHPR - Brian Bell
Telephone: +353 1 669 0030
Email: brian.bell@ogilvy.com
Powerscourt - Matthew Fletcher / Lisa Kavanagh
Telephone: +44 20 7250 1446
Email: DCC@powerscourt-group.com