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TOX - Tox Free Solutions News Story

A$3.42 0.0  0.0%

Last Trade - 11/05/18

Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £282.4m
Position in Universe th / 1913

BRIEF-Tox Free Solutions Ltd to acquire Daniels Health Australia

Tue 25th October, 2016 10:34pm
Oct 26 (Reuters) - Tox Free Solutions Ltd  TOX.AX  
    * Strategic acquisition of Daniels Health Australia 
    * Deal for an enterprise value of $186 million 
    * Acquisition is expected to deliver approximately 16% eps 
accretion in FY2017 on a full year pro forma basis 
    * Toxfree intends to fund acquisition through a combination 
of equity, cash and increased debt facilities 
    * Entitlement offer will be structured as a 1 for 3.9 
pro-rata non-renounceable entitlement offer priced at $2.30 per 
    * Toxfree will acquire 100% of shares & related assets of 
daniels health pty ltd & daniels manufacturing pty ltd 
    * "Existing operational staff of daniel's will become 
employees of toxfree group" 
    * Acquisition will be partly funded by approximately $114 
million of new equity funding 
    * All toxfree directors and senior executive management who 
hold shares in co have stated they intend to participate in 
entitlement offer 
    * Toxfree expects underlying fy2017 ebitda to be in lower 
half of its previous guidance range of 5-10% higher than fy2016 
underlying ebitda 
    * Amended and increased its existing debt facilities from 
its relationship banks to provide funding capacity for 
    * As at end of 1q FY2017, toxfree is trading in-line with 
toxfree and market expectations 
    * Expects to have approximately $159 million of net debt 
upon completion 
    * Increased debt facilities will provide additional funding 
capacity of up to $95 million to support acquisition 
    * Announced that it has recently been "successful in award 
of a number of new contracts and opportunities" 
Source text for Eikon:*:nASX85dhRr 
Further company coverage:  TOX.AX  
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