Homeserve Plc Acquisition (9326V)
03 February 2017 - 6:00PM
UK Regulatory
TIDMHSV
RNS Number : 9326V
Homeserve Plc
03 February 2017
HOMESERVE PLC
HOMESERVE MAKES INVESTMENTS IN CHECKATRADE AND HABITISSIMO
-- HomeServe accelerates the development of its digital presence
by acquiring shareholdings in Checkatrade and Habitissimo,
established market leaders in home repairs and improvements
-- Expands our offering beyond home emergencies to help
consumers looking for a single online source to solve home
emergencies, repairs and improvements
-- Entering the home repairs and improvements market via these
acquisitions expands our addressable market to a broader customer
demographic and provides an immediate increased range of trades
-- Further opportunity to develop scalable platforms with
significant potential for future growth internationally
HomeServe plc, the international home repair and improvements
business, today announces that it has acquired shareholdings in
Checkatrade in the UK and Habitissimo in Spain, two separate market
leading businesses that provide access to high quality tradespeople
performing home repairs and improvements via online platforms.
These two investments are in line with HomeServe's strategy to
develop its digital presence, extending the range of trades offered
and broadening its demographic appeal through online platforms that
provide customers with Certified Home Experts whenever they need
them.
Checkatrade, based in Selsey, is the UK's most recognised and
trusted online directory of high quality, customer recommended
tradespeople with nearly 1m unique customer visits a month,
resulting in approximately 1.3m jobs per annum. HomeServe has
acquired a 40 per cent interest in the business with an option to
increase its position by a further 35 per cent in two years.
Habitissimo is an international online business that provides
support for home improvements and repairs, connecting homeowners to
trusted local tradespeople. Based in Mallorca (Spain), Habitissimo
receives over 3.6 million unique customer visits a month, resulting
in approximately 0.25m jobs per annum across nine countries in
Europe (Spain, Portugal, Italy and France) and Latin America
(Brazil, Mexico, Argentina, Chile and Colombia). HomeServe has
acquired a 70 per cent interest in the business with an option to
increase its position by a further 30 per cent in either four or
five years' time.
Checkatrade and Habitissimo have access to around 24,000 and
21,000 tradespeople respectively, which combined with HomeServe's
existing networks, will give HomeServe access to over 50,000
Certified Home Experts across a range of over 20 trades.
Both businesses have proven the success of their business models
and the existing management teams will remain with the businesses,
continuing to lead their development as part of HomeServe.
The combined consideration for these two acquisitions was GBP37m
and was financed through existing cash resources.
Richard Harpin, Chief Executive, HomeServe plc, commented:
"Our investments in Checkatrade and Habitissimo underline
HomeServe's ambition to be at the forefront of the technological
revolution as the world's most trusted provider of home repairs and
improvements. Both of these businesses provide innovative digital
platforms, connecting customers to reliable tradespeople. With
leading positions in the home repair and improvements market, these
businesses will broaden HomeServe's reach enabling us to meet the
needs of younger, non-insurance minded customers who are looking to
find immediate help from a wide range of home trades.
Together, these investments open up exciting new possibilities
to help our customers in their homes as we continue to develop our
online capabilities and digital platform solutions."
HomeServe is trading in line with management's expectations and
expects to deliver good growth in the year ending 31 March 2017.
The next scheduled trading update is 6 April 2017.
Enquiries
HomeServe plc
Richard Harpin, Group Chief Executive
David Bower, Chief Financial Officer
Linda Hardy, Finance Director
Tel: 01922 427 997
Tulchan Group
Martin Robinson
Siobhan Weaver
Tel: 0207 353 4200
This information is provided by RNS
The company news service from the London Stock Exchange
END
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