DCC reaches conditional agreement to acquire Pace
DCC plc has reached conditional agreement to acquire the entire issued share capital of Pace Fuelcare Ltd (”Pace”), a British oil distribution business, from MRH (GB) Ltd. The acquisition is subject, inter alia, to clearance from the UK Office of Fair Trading. In its financial year ended 26 September 2010 Pace sold 515 million litres of fuel to independent retail petrol stations and a broad range of commercial, industrial, agricultural and domestic customers. With approximately 240 employees, Pace operates from 20 locations across southern England and has a fleet of 86 road tankers. The consideration payable for Pace, on a cash free/debt free basis, is €27.7 million (Stg£23.4 million). The consideration is payable in cash. Tommy Breen, Chief Executive of DCC plc, said : “The acquisition of Pace Fuelcare will further enhance DCC Energy’s oil distribution business in Britain, bringing its market share to approximately 15%. Pace has a particular strength in the distribution of transport fuels in southern England and will be complementary to DCC Energy’s existing business.”