20 June 2008
CareTech deal by Brewin Dolphin
Brewin Dolphin Investment Banking which has its national
headquarters in Newcastle has completed an important strategic
acquisition and £30m fund raising for its client CareTech
Holdings plc (‘CareTech’), the leading provider of
learning disability care services which Brewin Dolphin floated on
AIM in October 2005.
CareTech has acquired care home business Valeo in a deal with up
to £15.3m. Valeo is Yorkshire based and provides a range of
speciality services for adults with learning difficulties including
residential care and supported living schemes.
Graeme Summers, head of investment banking at Brewin Dolphin is
delighted that his team has assisted CareTech in further developing
their growth strategy.
“The acquisition of Valeo together with a successful fund
raise is another major milestone for CareTech which has delivered
significant growth since it floated.
It is CareTech’s first foray into the north and it is
testament to the strength of the business that the £30m fund
raise was so successful in such difficult market conditions. I am
particularly pleased that we have assisted CareTech in raising
equity capital at a minimal discount of only 3 per cent to its
share price.”
Brewin Dolphin’s Corporate Finance team was led by
directors Matt Davis and Andrew Emmott.
Since flotation in 2005 the business has grown profits (EBITDA)
from £2.4 million to a forecast £17.1 million for the
year to September 30th 2008 and its shares have more than
doubled.