For immediate release 10 January 2008
CVS Group plc (“CVS” or “the Group”)
Acquisition of Axiom Veterinary Laboratories(“Axiom Lab”)
Doubles Group Revenues in Diagnostic Laboratory Services
Acquisitions
CVS, one of the UK’s leading providers of veterinary services, is pleased to announce the acquisition of Axiom Lab. Founded in 1980, Axiom Lab provides diagnostic laboratory services to third party veterinary practices. CVS’ existing three diagnostic laboratories specialise in histology and represented 7% of Group turnover in the year ended 30 June 2007. Axiom Lab complements the Group’s diagnostic operations by bringing a strength and specialisation in biochemistry, as well as allergy testing, to its range of services. It will also double Group revenues derived from laboratory services.
Management accounts for the year ended 31 December 2007 show that Axiom Lab achieved EBITDA of approximately £700,000 on turnover of approximately £4.5 million. The £4.039m consideration is being satisfied wholly in cash.
Axiom Lab employs 10 vets across three sites and the team will remain with CVS after acquisition. We are pleased that owner, Peter Webb, will remain full time with the business as Managing Director of Axiom Lab.
Commenting on the acquisition, CVS Chief Executive Simon Innes said “Axiom Lab’s biochemistry specialisation provides the perfect complement to our existing diagnostic services. We welcome the Axiom Lab team to CVS and look forward to the benefits of their considerable reputation in their specialist field.”
Contact:
CVS Group plc: 01379 644 288
Simon Innes - Chief Executive
Paul Coxon - Finance Director
Buchanan Communications: 0207 466 5000
Richard Oldworth
Suzanne Brocks