Smiths News which distributes newspapers, magazines and books, has bought Hedgelane Limited whose principal subsidiary trades as The Consortium for Purchasing and Distribution, the distributor of consumable products to the educational market, for £38.0m.
The Consortium supplies consumable products to the education market which is estimated to have an addressable market value of £1bn; and also to the care and early years nursery markets, estimated to have addressable market values of £160m and £55m respectively.
Smiths said the consortium was a profitable, cash generative business expected to add an additional £64m sales and £7m EBITDA to Smiths News PLC on a proforma FY12 basis.
