CVS Group has refinanced its £350mn bank facilities out to 2030, reducing the cost of debt by 0.2 percentage points.
Annually, the group expects to invest about £30mn in its existing business and £50mn on acquisitions in Australia. CVS has recommitted to keeping net debt below 2x underlying cash profit (EBITDA), but may consider breaching this temporarily to facilitate attractive acquisitions.
A £50mn share buyback program has been launched, expected to complete this November.
The shares rose 4.7% in early trading.
Our view
HL view to follow.
CVS Group key facts
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