Bringing the two brands together, the long-term goal is to provide a “water in, waste out" range of plumbing-related services to commercial customers in the UK.
Franchise Brands, an international franchisor providing the same support services to a range of businesses, is acquiring 100% of Willow Pumps for an initial £5mln and a deferred consideration of up to £7.5mln, payable over the next five years based on performance.
Willow Pumps recorded revenue of £12.4mln, underlying earnings (EBITDA) of £1.6mln and a profit before tax of £1.1mln in the year ended 31 December 2018.
The water pump supply, installation and servicing business will complement the services provided by Metro Rod, a drain and care repair business acquired two years ago, at the centre of a five-year strategy.
Metro Rod, where the plan is to boost fee income four-fold by 2023, recorded 15% sales growth in the year-to-date, while last year they were up 6%.
The company will open “shortly” a new depot in Lincoln and began trading at its first Northern Ireland facility last week for Metro Rod.
Shares were up 12% to 92.05p in the early morning.
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