UDG buys Galliard and Nyxeon for £6.5m
Aquisition of PR firms to be ‘immediately earnings-enhancing’
UDG Healthcare chief executive Liam FitzGerald. Photograph: Eric Luke
UDG Healthcare has acquired the specialist healthcare and scientific public relations businesses, Galliard and Nyxeon (MFRHRC Holdings Limited).
The London-listed UDG will pay £6.5 million for the businesses, with an additional £6.5 million of the consideration payable based on achievement of agreed profit targets over the next three years.
Liam FitzGerald, chief executive of UDG Healthcare, said that the purchase “is fully aligned with our global growth strategy of extending the range of services we offer in high-value multichannel healthcare communications and follows the successful acquisitions of InforMed, Watermeadow and more recently Knowledgepoint360.”
Specialist PREstablished in 2000, both businesses are headquartered in London and employ 33 people offering specialist public relations services.
UDG said that the two businesses, Galliard and Nyxeon, will add capabilities in data-driven healthcare and scientific public relations to UDG Healthcare’s global healthcare communications business Ashfield Healthcare Communications.
MFRHRC has gross assets of £5 million and generated annual revenues of £5.57 million and a profit after tax of £1.73 million in the year to December 2013.
UDG said that the deal will be “immediately earnings-enhancing” and Davy Stockbrokers said that the deal should add about 2 per cent to UDG’s level of earnings per share in a full year.