NVC BUYS SPECIALIST BUSINESS

Written on the 29 April 2016 by Brisbane Business News

NVC BUYS SPECIALIST BUSINESS NATIONAL Veterinary Care (ASX: NVL) has acquired a specialist vet systems business, marking the start of a different kind of revenue stream for the Brisbane vet company. 

NVC purchased Complete Vet Systems (CVS) for $0.82 million, including $0.16 million in shares. The business is expected to deliver annualised revenue of $0.51 million and EBIT of $0.15 million.

NVC managing director Tomas Steenackers (pictured) says CVS provides paid management services to veterinary clinics which aren't always acquisition targets of NVC.

"CVS will allow us to generate revenue we would otherwise miss out on," says Steenackers.

"The business is also an important strategic fit and allows us to further realise one of our core strategies where we wish to partner with as many veterinary professionals in the industry as possible, and to provide them with education and value-added activities which are ultimately aimed at ensuring NVC helps to increase the standards of care for Australian pets and their owners."

This is the first acquisition NVC has completed in management services.

Steenackers believes this is a growth sector in the highly fragmented Australian vet industry worth $2.4 billion.

The acquisition is expected to be earnings per share accretive in the 2016 fiscal year. Thew total remaining up front consideration will be funded through free cash.

NVC shares will be issued at the volume weighted price of $1.395, calculated based on its shares sold for the fifteen consecutive trading days immediately prior to 26 April 2016.

Just over half a year since its ASX debut, NVC is performing ahead of expectations to show the market can handle another vet-and-pet player


Author: Brisbane Business News Connect via: Twitter

Latest News

SIRTEX CEO DISMISSED FOLLOWING SHARE TRADING PROBE

SIRTEX Medical Ltd (ASX: SRX) has sacked its chief executive officer, Gilman Wong (pictured), following an investigat...

SANTA DELIVERS KOGAN A GIFT

KOGAN.COM (ASX: KGN) has exceeded its expectations and reported another strong quarter of trade.

The online retail...

FOUR WAYS YOU SHOULD PROTECT YOUR IT SYSTEMS FROM EXTREME WEATHER

SHANNON Overs, co-founder of onPlatinum ICT, sees it too often, perhaps half a dozen times per year businesses tha...

IOT GROUP ORDERS FIRST PRODUCTION OF ROVA DRONE

IOT Group (ASX:IOT) has ordered production of 40,000 units of the ROVA flying selfie drone from Chinese technologies ...

Related News

RISE OF STARTUP SUPPORT PROGRAMS NOT AS ROSY AT IT SEEMS

ENTREPRENEURIAL cultivation companies in Australia are appearing quickly, but questions have been raised about whe...

SMES TAKE RETAIL MARKET SHARE AS CONSUMERS CHOOSE PERSONALISATION

IN a battle for the hearts and wallets of Australian consumers, it appears that small and medium retail businesses...

KNOWLEDGE WORKERS AMONG MOST SOUGHT AFTER IN 2017

BUSINESSES searching for efficiencies and improved systems are in search of knowledge workers early this year, say...

FEMALE ENTREPRENEURS GET SPRINGBOARD TO GROWTH

DESPITE the fast-growing number of women studying STEM subjects at school and university, women continue to be und...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter