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Johnson Service sees FY ahead of management's views, buys StarCounty for £3.9m
AIM-listed textile rental provider Johnson Service said on Friday that it results for the full financial year are expected to be slightly ahead of management expectations, as it announced the acquisition of laundry services provider StarCounty Textile.
In a trading update for the six months to the end of December, the company said it continued to trade well in the second half of the year and that it has completed the purchase of Wrexham-based StarCounty for £3.9m on a debt free, cash free basis, including a freehold site valuation at £900,000.
StarCounty has been operating in the North West and the Midlands for over 50 years, serving a range of customers including budget hotel chains, country house hotels, restaurants and catering establishments. Johnson said the acquisition will support and extend the geographical coverage of its Stalbridge Linen brand across the North West and West Midlands, increasing its processing capacity and improving the efficiency of the logistics network.
Chief executive Chris Sander said: "We are delighted with another period of strong trading. In addition, the acquisition of StarCounty announced today helps us further develop the business in line with our strategy, increasing our presence in the North West and the West Midlands and enhancing the quality of service we can offer our customers in the region."