Business support services conglomerate DCC plc has increased its presence in Britain through the acquisition of Squadron Medical for an initial €3.5 million (£2.5 million).

Business support services conglomerate DCC plc has increased its presence in Britain through the acquisition of Squadron Medical for an initial €3.5 million (£2.5 million).

The initial cash consideration is €16 million (£11.5 million), including net cash acquired of €3.5 million (£2.5 million). A further €11.8 million (£8.5 million) is available, dependent on profits earned in each of the four financial years to 31 March 2012. Squadron will continue to be led by Peter Wyslych, its founder and managing director.

Based in Chesterfield, Squadron procures and supplies medical and surgical products to hospitals.

DCC’s chief executive Jim Flavin said: “Squadron is well positioned for continued strong growth in the British hospital supply sector. Squadron will work closely with DCC’s subsidiary Fannin, a leader in hospital supplies in Ireland, to accelerate the development of DCC Healthcare’s business in Britain.”

Interim results for DCC in the six months up to October compared against the same period last year showed revenue up 25.3 per cent to £2.3 billion and gross profit up 17.6 per cent to £51.6 million.