Skip to main content
The Markets by Proactive
Go to Proactive UK
Proactive UK has moved. Proactive’s coverage of London’s small caps continues on proactiveinvestors.com Go there →
Advertisement
The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
Advertisement
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Business & education services

Bunzl buys two companies, expects tax break in US

The company’s aggressive buying hasn’t slowed in the new year

Bunzl PLC’s (LON:BNZL) shopping spree isn’t over yet.

The distribution and outsourcing group has delivered on an earlier promise to keep its purse open with the announcement Thursday of two acquisitions: California-based Revco, a workplace-safety and personal-protection-equipment maker, and a deal for UK-based Aggora Group, a commercial catering supplier.

The two deals follow 11 acquisitions made in 2017 worth about £550mln.

READ: Bunzl reports third quarter revenue growth and plans to make further acquisitions

Financial terms were not disclosed but Bunzl said that Revco is expected to book sales of US$37mln for the full year ending December 2017, while Aggora booked £27mln for the year ended in March 2017.

Bunzl also updated its view on the effect of US tax-law changes on its US-based operations, indicating it expects a lower corporate tax rate of 24% for fiscal 2018. The company saw no effect for 2017.

Bunzl also announced that it has received an offer to sell OPM, a France-based distributor of Sodastream International Ltd. (NASDAQ:SODA) products. Terms of the deal were not provided, but the sale is expected to close in the first quarter of 2018.

Bunzl shares rose 2% to £20.45 in morning trading.

Advertisement
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK