CORRECTING and REPLACING Patterson Companies Completes Acquisition of Animal Health International
Size of Veterinary Business Doubles
ST. PAUL, Minn.--(BUSINESS WIRE)--
Fourth paragraph, third and fourth sentences should read: The closing of
the transaction will impact approximately half of the company's fiscal
first quarter, which ends August 1, 2015. Patterson Companies expects to
provide a financial update and revised company guidance, as a result of
the acquisition, on its fiscal first quarter earnings call Thursday,
August 27, 2015.
The corrected release reads:
PATTERSON COMPANIES COMPLETES ACQUISITION OF ANIMAL HEALTH
Size of Veterinary Business Doubles
Patterson Companies, Inc. (Nasdaq:PDCO) today announced that it has
successfully completed the previously announced acquisition of Animal
Health International, Inc., a leading production animal health
distribution company in the United States. With Patterson's Veterinary
business now double its previous size, the company is focused on serving
customers in the U.S., Canada and the United Kingdom with a wide range
of products and services. Under terms of the definitive agreement,
Patterson Companies has acquired all of Animal Health International's
stock for approximately $1.1 billion in cash.
According to Scott P. Anderson, chairman and chief executive officer of
Patterson Companies, "The culmination of this acquisition marks a
significant milestone for Patterson Companies and this is a
transformational move for us. Acquiring Animal Health International
firmly establishes Patterson in the production animal health market, in
addition to building on our already strong presence in the companion pet
market. We are committed to growth in this industry. John Adent is
leading the combined veterinary business as president, with George
Henriques, serving as chief commercial officer. Their top priority is to
leverage our broadened product portfolio and best-in-class technical and
service offering to take advantage of the growth opportunities in the
animal health industry."
Under terms of the definitive agreement, Patterson Companies financed
the acquisition through a combination of a $1 billion unsecured term
loan and a $500 million unsecured cash flow revolving line of credit.
The initial interest rate under the credit agreement is LIBOR plus 200
Animal Health International generated sales and EBITDA of $1.5 billion
and $68 million, respectively, during the 12 months ended March 2015.
Patterson expects $20 million to $30 million of synergies to result from
the Animal Health International acquisition, to be realized over a
three-year period. The closing of the transaction will impact
approximately half of the company's fiscal first quarter, which ends
August 1, 2015. Patterson Companies expects to provide a financial
update and revised company guidance, as a result of the acquisition, on
its fiscal first quarter earnings call Thursday, August 27, 2015.
About Patterson Companies, Inc.
Patterson Companies, Inc. is
a value-added distributor serving the dental, companion-pet veterinarian
and rehabilitation supply markets.
As Patterson's largest business, Patterson Dental
provides a virtually complete range of consumable dental products,
equipment and software, turnkey digital solutions and value-added
services to dentists and dental laboratories throughout North America.
Patterson Veterinary is a leading distributor in the
U.S. and U.K. of consumable veterinary supplies, equipment and software,
diagnostic products, vaccines and pharmaceuticals predominantly to
companion-pet veterinary clinics.
Patterson Medical is the world's leading distributor
of rehabilitation supplies and non-wheelchair assistive patient products
to the physical and occupational therapy markets. The unit's global
customer base includes hospitals, long-term care facilities, clinics and
This press release contains certain forward-looking statements, as
defined in the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are information of a non-historical nature
and are subject to risks and uncertainties that are beyond Patterson's
ability to control. Forward-looking statements generally can be
identified by words such as "believes," "expects," "anticipates,"
"foresees," "forecasts," "estimates" or other words or phrases of
similar import. Similarly, statements that describe the proposed
benefits of the transaction, including its financial impact, and other
statements of management's beliefs, intentions or goals also are
forward-looking statements. It is uncertain whether any of the events
anticipated by the forward-looking statements will transpire or occur,
or if any of them do, what impact they will have on the results of
operations and financial condition of the combined companies or the
price of Patterson stock. These forward-looking statements involve
certain risks and uncertainties that could cause actual results to
differ materially from those indicated in such forward-looking
statements, including but not limited to the ability of Patterson to
successfully integrate Animal Health's operations, product lines and
technology; the ability of Patterson to implement its plans, forecasts
and other expectations with respect to Animal Health's business and
realize additional opportunities for growth; and the other risks and
important factors contained and identified in Patterson's filings with
the Securities and Exchange Commission, such as its Quarterly Reports on
Form 10-Q and Annual Reports on Form 10-K, any of which could cause
actual results to differ materially from the forward-looking statements.
Any forward-looking statement in this press release speaks only as of
the date on which it is made. Except to the extent required under the
federal securities laws, Patterson does not intend to update or revise
the forward-looking statements.
View source version on businesswire.com: http://www.businesswire.com/news/home/20150617005142/en/
Patterson Companies, Inc.
Ann B. Gugino, 651-686-1600
Vice President & CFO
Source: Patterson Companies, Inc.
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