Angling Direct plc Acquires Fosters Fishing Limited
Angling Direct Plc, the largest specialist fishing tackle and equipment retailer in the UK, is pleased to announce that it has acquired the entire issued share capital of Fosters Fishing Limited for a total consideration of £3.0 million payable in cash.
From a 17,000 sq ft superstore located on the outskirts of Birmingham, Fosters, which trades as Fosters of Birmingham, currently operates as one of the largest fishing tackle retailers in Europe. Having been in business for over 30 years and holding c£1.2 million of stock, Fosters caters for all types of fishing disciplines. The store is located just 5 minutes from J6 of the M6 and just 3.5 miles from Birmingham city centre.
This latest acquisition increases Angling Direct's presence in the Midlands, together with its Halesowen and Willenhall stores. The acquisition takes the total number of Angling Direct stores to 17, with a new store in Slough due to open in early October as previously announced.
In the year to 31st March 2017, Fosters generated revenues of c£5.9 million and an operating profit before tax of c£460,000, with net assets of c£1.1 million. Within net assets is the freehold property of the Fosters store, which has been recently valued at £0.5million.
Following completion of the acquisition, Mark Foster, will remain with Fosters for a few weeks to ensure a smooth handover, and Richard Foster, will continue to work in the business on a part time basis.
Darren Bailey, CEO of Angling Direct, commented: "Fosters is a long-established and very successful business with a loyal customer base and knowledgeable team. The acquisition will be earnings enhancing from day one and validates Angling Direct's long-term strategy - to consolidate the fishing tackle market whilst expanding our business through acquisition.
"We look forward to working closely and supporting the Fosters team with the integration over the coming months."