Shanks Group plc (ticker: SKS.L, exchange: London Stock Exchange (.L))
News Release -
Shanks Group PLC - Acquisition
Shanks Group PLC
30 June 2006
Friday 30th June 2006
Shanks Group plc: Euro63 million acquisition of Dutch Group: Smink Beheer BV
Shanks Group plc, a leading European waste management company, has today
announced the acquisition from the Smink family of the entire share capital of
Smink Beheer BV (Smink) for a gross consideration of Euro86m in cash, Euro63m net of
the cash in the acquired entity. An additional Euro2.5m is payable upon expansion
of the scope of a permit for the company's landfill activity.
Smink is an established integrated waste collection, recycling and landfill
disposal business based in Amersfoort, east of Utrecht, in the Netherlands, with
expertise in commercial and industrial waste management. There is also an
ancillary infrastructure building activity (eg roads and drainage) operating
locally. Smink employs some 170 people and processes approximately 0.5m tonnes
of waste annually.
Smink's last published results for the year ended 31 December 2005 showed a
profit before tax of Euro13.5m which included one-off gains totalling approximately
Euro4.8m. Gross assets were Euro51.0m.
Commenting on the transaction, Shanks Group plc Group Chief Executive, Michael
Averill, said: "We are delighted with this acquisition which expands our
geographic coverage eastwards from our strong presence in the Randstadt area.
As the Smink solid waste activities are similar to our existing business we will
serve our target customers over a wider area. The acquisition is expected to be
earnings enhancing in the current year."
For further information contact:
Michael Averill, Group Chief Executive
Fraser Welham, Group Finance Director
Shanks Group plc
Telephone +44 (0) 1628 554920
Citigate Dewe Rogerson
Telephone +44 (0) 20 7282 2945
This information is provided by RNS
The company news service from the London Stock Exchange