27 June 2024
Advanced Medical Solutions Group
plc
("AMS" or
the "Group")
Regulatory approval for acquisition
of Peters Surgical
~ Transformational
transaction to be completed 1 July 2024 ~
Winsford, UK: Advanced Medical Solutions Group plc (AIM: AMS), a
world-leading specialist in tissue-healing technologies,
is pleased to announce that following its
announcement of the proposed acquisition of Peters Surgical on 13
March 2024, it has now received regulatory approval to complete the
acquisition of Peters Surgical, following the successful French
Foreign Direct Investment screening process.
The acquisition of Peters Surgical,
one of the leading European providers of speciality surgical
products will strengthen AMS's position as a leading global
specialist in tissue repair and wound closure. With the addition of
Peters Surgical and Syntacoll, AMS's consolidated surgical revenue
for FY23 would have been almost double and the Business Unit would
have represented nearly 80% of AMS Group revenues. The Board
expects the transaction will deliver high single digit earnings
accretion from FY25, excluding significant anticipated commercial
and operational synergies. AMS will provide more detail on
potential synergies in September, once the transaction and the
integration project plan are complete. Peters Surgical generated
revenues of €84 million in the twelve months to 31 December
2023.
Completion of the transaction will
take place on 1 July 2024, triggering an initial cash payment of
€132.5 million (approximately £113.2 million). An earnout of up to
€8.9 million (approximately £7.6 million) would be payable in
FY2025 on delivery of US suture 510(k) approvals, achievement of
FY24 revenue and gross margin targets, and satisfying certain
inventory and tax conditions as outlined in the announcement
on 13 March 2024.
Chris Meredith, Chief Executive Officer of AMS,
said: "We are delighted to have
secured regulatory approval for this transformational acquisition.
In anticipation of completion, we have been working closely with
Peters Surgical to begin an extensive integration project, with a
dedicated team now in place to manage the process which has
confirmed our view of the quality of the Peters Surgical business,
its complementarity with AMS's existing offering, as well as the
enthusiasm and commitment of its staff. This transaction is a
substantial step forward for AMS as we establish an enhanced
portfolio of own-branded products, strengthen our direct sales
capabilities and look to secure greater global traction in key
markets."
For further information,
please contact:
Advanced Medical Solutions Group plc
|
Tel: +44
(0) 1606 545508
|
Chris Meredith, Chief Executive
Officer
Eddie Johnson, Chief Financial
Officer
Michael King, Investor
Relations
|
|
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ICR
Consilium
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Tel: +44
(0) 20 3709 5700
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Mary-Jane Elliott / Lucy
Featherstone
|
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Evercore
Simon Elliott / Torera
Oyewo
Investec Bank PLC (NOMAD & Broker)
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Tel: +44
(0) 20 7653 6141
Tel: +44
(0) 20 7597 5970
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Gary Clarence / David
Anderson
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HSBC Bank plc (Broker)
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Tel: 44
(0) 20 7991 8888
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Sam McLennan / Joe Weaving /
Stephanie Cornish
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About Advanced Medical Solutions Group plc
AMS is a world-leading independent
developer and manufacturer of innovative tissue-healing technology,
focused on quality outcomes for patients and value for payers. AMS
has a wide range of surgical products including tissue adhesives,
sutures, haemostats, internal fixation devices and internal
sealants, which it markets under its brands LiquiBand®, RESORBA®,
LiquiBandFix8®, LIQUIFIX™ and Seal-G®. AMS also supplies wound care
dressings such as silver alginates, alginates and foams through its
ActivHeal® brand as well as under white label. Since 2019, the
Group has made six acquisitions: Sealantis, an Israeli developer of
innovative internal sealants; Biomatlante, a French developer and
manufacturer of surgical biomaterials, Raleigh, a leading UK coater
and converter of woundcare and bio-diagnostics materials, AFS
Medical, an Austrian specialist surgical business, Connexicon, an
Irish tissue adhesives specialist and Syntacoll a German specialist
in collagen-based absorbable surgical implants.
AMS's products, manufactured in the
UK, Germany, France, the Netherlands, the Czech Republic and
Israel, are sold globally via a network of multinational or
regional partners and distributors, as well as via AMS's own direct
sales forces in the UK, Germany, Austria, the Czech Republic and
Russia. The Group has R&D innovation hubs in the UK, Ireland,
Germany, France and Israel. Established in 1991, the Group has more
than 800 employees. For more information, please
see www.admedsol.com.