Investment Case

Jan Boone
The acquisition of Ecuphar has provided enhanced scale and capabilities for the Group and creates a pan-European animal health platform from which to accelerate growth. Our direct sales operation has expanded to cover seven countries and our international reach covers 50 export markets. We have greatly increased the depth and diversity of our licensed veterinary medicines product range and as an enlarged Group we expect to deliver a growing, highly cash generative, dividend paying company with a solid pipeline of new products and multiple cross-selling opportunities.

Jan Boone, Chairman

Investment Case

Animalcare to benefit from transformational acquisition
Bringing together two highly complementary businesses, with regard to their geographic markets, product portfolios and new product development pipelines. The acquisition provides enhanced scale and capabilities and enhances the Board's expectations of underlying earnings in the first full financial year of ownership.

Animalcare is a sustainable growing business in a growing market
Unaudited pro forma aggregated financials for the year ended 31 December 2016 shows combined revenues of £83.92m, underlying EBITDA of £12.86m and profit before tax of £8.55m for the Enlarged Group which are expected to grow.

Animalcare is strongly cash generative and in a strong financial position to invest in future growth.

Animalcare is dividend paying and given its strong balance sheet expects to maintain its current dividend policy during the investment phase.

Animalcare has a clear strategy for growth through an enhanced geographic footprint and sales, marketing and distribution network, and a strong product development pipeline.