LONDON (ShareCast) - (ShareCast News) - British equipment rental and services company Vp announced on Wednesday that it had acquired the entire issued share capital of Bristol-based firm Brandon Hire Group Holdings.
The acquisition, funded by new banking facilities from Vp's lenders, was for a total cash consideration of £41.6m payable upon completion.

Vp also assumed Brandon Hire's net debt of approximately £27.2m.

Jeremy Pilkington, chairman of Vp, said, "The acquisition of a well-established business of the size and quality of Brandon Hire is a significant development for Vp. We have, over recent years, developed an industry leading specialist tool hire business in the UK. This transaction represents a major step change in the scale and scope of our specialist tool hire offering."

Brandon Hire, established in 1971, is a nationwide tool and equipment hire service with over 900 employees across 143 locations in the UK.

The firm said the combination of the two businesses would, over the medium term, deliver "economies of scale in purchasing and operations" as well as creating "a leading specialist tool hire business within the UK division of Vp."

As of 1610 GMT, Vp shares had gained 7.29% to 850.30p.

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