Elanders acquires Bishopsgate to strengthen UK Life Cycle Management services
Logistics company Elanders is set to acquire 88.5% of British firm Bishopsgate, a specialist in special transportation and installation services, bolstering its Life Cycle Management capabilities in the UK.
Elanders has agreed to acquire 88.5 percent of the shares in Bishopsgate, a UK-based company specializing in the transport, installation, and configuration of sensitive equipment. The acquisition aims to grow Elanders' Life Cycle Management (LCM) services, particularly within the Electronics and Healthcare & Life Science sectors.
Bishopsgate, which was previously part of Master Removers Group Limited, employs around 250 people and reported sales of GBP 27 million over the last twelve months. The company utilizes digital tracking and management systems for its high-value equipment transport operations.
The acquisition is expected to be completed within weeks, subject to customary closing conditions. Bishopsgate will be integrated into Elanders' Supply Chain Solutions business area. The transaction is partly financed by an acquisition loan of GBP 115 million, which also covers parts of Elanders' prior acquisition of Kammac Ltd.
The initial purchase price values Bishopsgate at GBP 47.5 million on a cash- and debt-free basis. Elanders has the option to acquire the remaining shares in the future based on the company's performance. The transaction will have a negative impact on Elanders' cash flow in the first quarter of 2024.